U.S. adding 5 million barrels of oil to its reserves because of cheap prices
If anybody tells you we’re running out of oil, don’t tell that to Uncle Sam.
The U.S. is sitting on about 691 million barrels of oil in its Strategic Petroleum Reserve (SPR), and with oil prices close to a five-year low set in January, the U.S. is looking to buy even more, soliciting bids for 5 million barrels of oil, worth about $224 million at the closing price on Friday, March 13, of $44.84 on NYMEX.
The Department of Energy said it plans to buy sweet crude for delivery for its Freeport, Texas, site between June 1 and July 31 and perhaps as early as May, according to a federal website.
The SPR is composed of four giant underground oil fields in Texas and Louisiana, and it sits awaiting a call from the president, in case oil supplies are disrupted.
But if you think when gasoline pric
Mar 14, 2015