The Trump administration has begun the process of large-scale withdrawal of oil from the US strategic reserves. Currently, it is planned to request the release of 86 million barrels of crude oil.
It was reported by Bloomberg.
The Department of Energy said in a statement on Friday that the supplies from the Strategic Petroleum Reserve are part of a large-scale release of 172 million barrels of oil announced on Wednesday. The oil should be on the market by the end of next week.
Under the terms of the agreement, the companies will have to return the leased oil to the Department of Energy, adding additional barrels as compensation.
The withdrawal is expected to last four months and is part of a coordinated initiative with other countries to release 400 million barrels. The idea is intended to reduce the price of oil, gasoline, diesel and jet fuel, which have skyrocketed since the US and Israeli invasion of Iran.
The war has virtually halted shipping in the Strait of Hormuz, which carries about a fifth of the world's oil supplies.
With regard to the allocation of 172 million barrels of oil, the Department of Energy said earlier that the White House has taken steps to replenish the withdrawn oil reserves by about 200 million barrels over the next year. They specified that the volume of replenishment would be 20% higher than the volume of withdrawals.
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