Commodities
US Oil Reserve Nears Critical Threshold
The United States' Strategic Petroleum Reserve (SPR) has been depleted to historic lows due to releases in response to global conflicts. The reserve, which stores oil at 60 salt caverns thousands of feet underground along the Gulf Coast, now holds around 243 million barrels.
Experts warn that releasing stockpiles too quickly risks damaging the caverns, making it more difficult for the US to respond to future energy emergencies.
The SPR's inventory has dropped below 300 million barrels for the first time since its creation in the early 1980s. Amos Hochstein, a senior energy advisor to President Joe Biden, disputes claims that the reserve can safely operate at levels below 300 million barrels.