U.S. Strategic Petroleum Reserve Hits 283.8 Million Barrels, Lowest Since 1982

Crude stocks in the U.S. Strategic Petroleum Reserve fell to 283.8 million barrels, the lowest level since October 1982, according to Energy Information Administration and Department of Energy data. The reserve stood at 284.6 million barrels for the week ending September 18, down from 285.0 million the prior week and 406.0 million a year earlier. The drawdown stems from a 172 million-barrel release authorized by President Trump in March, part of a coordinated 400 million-barrel release by 32 IEA member countries. The reserve has set new multi-decade lows twice this year, first falling below 300 million barrels in early August. Federal law sets an operational minimum of 252.4 million barrels, while analysts generally consider 250 to 300 million barrels necessary for efficient pumping and processing. About 133 million barrels are structured as swaps with Shell, Vitol and Trafigura, contracted to return 1.25 barrels for every one taken, with deliveries starting early next year.