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Source: iStock The US is soliciting bids for up to 3 million barrels of sour crude oil to refill its depleted Strategic Petroleum Reserve. Deliveries into the emergency government stockpile are planned for August, with awards to be announced in June, the Energy Department said in its solicitation Monday. The move marks the agency’s second attempt to begin replenishing the Strategic Petroleum Reserve after it released more than 200 million barrels last year, in part to curb high energy prices. The announcement sent US oil futures 0.5 per cent higher to trade above $71 a barrel. Oil traders have been closely watching for any indication that the government would begin refilling the reserve, as its purchases are bound to tighten the market. The sour crude grades sought by the Energy Department are already in high demand as OPEC+ cuts output. Any additional pull-on domestic barrels could send oil prices higher, potentially raising gasoline prices in the middle of the summer driving season. The Energy Department said in a statement that it plans to “repurchase crude at a lower price than the average of about $95 per barrel it was sold for in 2022, while strengthening energy security by providing […]
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