The U.S. Department of Energy announced March 2 it has been authorized by President Biden to release 30 million barrels of crude oil in an effort to divert energy supplies away from Russia.
The decision comes in light of supply disruptions brought upon by Russia's ongoing invasion of Ukraine. As Russia is the world's highest oil exporter, with 5 million barrels exported per day, the war has affected the energy supply chain worldwide and the president, as well as other 30 countries in the International Energy Agency, have begun attempts to rectify this. These leaders have pledged to release their own oil reserves, making for 60 million barrels in total.
“Today, I chaired an emergency ministerial meeting of the International Energy Agency – founded 50 years ago by the U.S. and other allies – where the United States and 30 other member countries, supported by the European Commission, agreed to collectively release an initial 60 million barrels of oil from strategic petroleum reserves," said Secretary of Energy Jennifer M. Granholm in a March 1 statement following an emergency IEA meeting. "This decision reflects our common commitment to address significant market and supply disruptions related to President Putin’s war on Ukraine.
"We stand prepared to take additional measures if conditions warrant," Granholm added.
In the statement, it was stated the U.S. will continue its attempts to secure the world from Putin's attempts to weaponize energy supplies. Granholm states the U.S. believes investing in clean energy will reduce dependence on Russian oil and gas.
Any company registered in the Strategic Petroleum Reserve crude oil sales program can participate in the sale and should register on the SPR website.
