ENERGY DEPARTMENT AUTHORIZES STRATEGIC PETROLEUM RESERVE EXCHANGE TO SUPPORT FUEL SUPPLY STABILITY
The U.S. Department of Energy authorized the exchange to help support regional fuel availability and alleviate potential impacts on transportation fuel supply in Louisiana and surrounding region.
WASHINGTON—The U.S. Department of Energy (DOE) today announced the authorization of an emergency exchange of up to 400,000 barrels of crude oil from the Strategic Petroleum Reserve (SPR) to address a crude oil supply disruption affecting the Phillips 66 Lake Charles Refinery in Louisiana. Under the terms of the exchange, all borrowed crude oil will be returned with additional premium barrels, helping replenish and strengthen the SPR at no additional cost to taxpayers.
“With this exchange, the Energy Department is taking definitive action to support refinery operations, maintain stable fuel supplies, and ensure all Americans continue to have access to the affordable, reliable, and secure energy they rely on every day,” said DOE Under Secretary of Energy Kyle Haustveit. “This emergency exchange helps alleviate supply disruption and requires Phillips 66 to return more barrels to the SPR than are currently being withdrawn, saving hardworking taxpayers millions of dollars and delivering on the Trump Administration’s commitment to strengthen and safeguard America’s energy security.”
The Energy Department has authorized the exchange of up to 400,000 barrels for the Phillips 66 Lake Charles Refinery from the West Hackberry SPR site for immediate delivery. The supply will help offset temporary disruptions affecting crude oil deliveries to the refinery and support continued production of transportation fuels serving Louisiana and surrounding markets.
DOE will continue working with industry partners to help ensure stability across the fuel supply chain and stands ready to utilize available authorities, as appropriate, to support the reliable delivery of energy supplies and protect U.S. energy security.
For more information on the SPR, please visit DOE’s website.
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