ENERGY DEPARTMENT BEGINS DELIVERING SPR BARRELS AT RECORD SPEEDS
The U.S. Department of Energy announced that contracts have been awarded for the first 45 million barrels of crude oil from the Strategic Petroleum Reserve’s exchange. Oil deliveries commenced today.
WASHINGTON — The U.S. Department of Energy (DOE) today announced the award of contracts for the initial phase of the Strategic Petroleum Reserve (SPR) Emergency Exchange as directed by President Trump. The first oil shipments began today—just nine days after President Trump and the Department of Energy announced the United States would lead a coordinated release of emergency oil reserves among International Energy Agency (IEA) member nations to address short-term supply disruptions.
Under these initial awards, DOE will move forward with an exchange of 45.2 million barrels of crude oil and receive 55 million barrels in return, all at no cost to the taxpayer. This represents the first tranche of the United States’ 172-million-barrel release. Companies will receive 10 million barrels from the Bayou Choctaw SPR site, 15.7 million barrels from Bryan Mound, and 19.5 million barrels from West Hackberry.
“Thanks to President Trump, the Energy Department began this first exchange at record speeds to address short-term supply disruptions while also strengthening the Strategic Petroleum Reserve by returning additional barrels at no cost to taxpayers,” said Kyle Haustveit, Assistant Secretary of the Hydrocarbons and Geothermal Energy Office. “This exchange not only maintains reliability in the current market but will generate hundreds of millions of dollars in value in the form of additional barrels for the American people when the barrels are returned.”
This initial action will ultimately add close to 10 million barrels to the SPR’s inventory when the barrels are returned. Taxpayers will benefit from both the short-term support for global supply and long-term growth of the SPR’s inventory. This helps protects U.S. and global energy security.
The Trump Administration continues to pursue additional opportunities to strengthen the reserve and restore its long-term readiness as a cornerstone of American energy security.
For more information on the Strategic Petroleum Reserve and DOE’s emergency exchange authorities, please visit energy.gov.
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