President Biden has ordered the release of one million barrels of oil each day from the Strategic Petroleum Reserve (SPR) for the next six months. It is the third such order in his 16-month tenure. He released 50 million barrels last November and another 30 million barrels in March this year. The current drawdown of 180 million barrels will be the largest in the 45-year history of the SPR. It surpasses the earlier record of 50 million barrels set in November.
The SPR now holds 568 million barrels. After Biden's latest draw, the SPR will shrink to 388 million barrels. The reserve supply can meet 19 days of U.S. needs. The reserve is not adequate, and a geopolitical event in the Middle East that jeopardizes supply could result in dry pumps.
