SPR levels were significantly depleted by sales in 2022.
Congress included a provision in the 2023 spending bill that cancels certain mandated sales from the Strategic Petroleum Reserve (SPR). Congress would have been required to sell an estimated 147 million barrels of oil from the SPR between fiscal year 2024 and fiscal year 2027. The provision cancels the sale of about 140 million barrels, allowing for the sale of about 26 million barrels from the SPR in the fiscal year 2023.
President Biden’s administration sold approximately 180 million barrels of oil from the SPR in 2022 alone, to ease the shortage in the United States. This brought the SPR to its lowest level of oil since 1984. The Biden administration hopes these canceled sales will help raise SPR oil levels somewhat to maintain energy security in the United States.
As the Lord Leads, Pray with Us…
- For members of Congress as they seek to manage government spending.
- For the president and his administration as they determine how to restock the Strategic Petroleum Reserve.
- For U.S. energy officials as they evaluate the oil and gas needs of the nation.
Sources: Bloomberg, Reuters
