US taps emergency oil reserve as prices top $117

· Oil & Gas · United States

The US Department of Energy on Friday authorized an emergency exchange of crude from the Strategic Petroleum Reserve to keep supply flowing to a Louisiana refinery, as oil prices climbed above $117 a barrel. The reserve is already at its lowest level since 1982. The department approved an exchange of up to 4 million barrels, according to the report. The move underscores how supply disruptions are straining the US system and leaving the country's emergency cushion thinner than at any point in four decades.

Why it matters：The world's largest emergency stockpile is being drawn down while prices are still rising, leaving Washington with less room to respond if disruptions worsen.

Key points

  • Oil prices climbed above $117 a barrel.
  • The reserve is at its lowest level since 1982.
  • The exchange is meant to keep crude flowing to a Louisiana refinery.

Sources (original reporting)

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