Reuters logo
Factbox: Emergency oil supplies and coordinated releases
August 25, 2017 / 8:32 PM / 4 months ago

Factbox: Emergency oil supplies and coordinated releases

(Reuters) - As Hurricane Harvey closes in on U.S. Gulf Coast energy infrastructure, backup resources are available should oil and fuel production be halted and threaten shortages.

The U.S. Strategic Petroleum Reserve (SPR), maintained underground in Louisiana and Texas by the Department of Energy, holds 678.9 million barrels of crude, which is enough to meet total U.S. needs for 33 days.

The United States also has a gasoline reserve, created after Hurricane Sandy in 2012. The Northeast Gasoline Supply Reserve holds about 1 million barrels, stored in New York Harbor, Boston and Maine.

The International Energy Agency’s 29 member countries also store petroleum, which can be made available in case of a supply disruption. The Paris-based organization advises Western governments on energy policy.

The IEA members’ reserves include both crude and refined products, which can be deployed in response to an international disruption.

The Gulf Coast is a major exporter of refined products to Latin America and other regions, and any serious hurricane damage to the region could have an impact on global supply.

Releases from reserves can help avoid or moderate any price spikes by bolstering supply that would otherwise be interrupted.

The U.S. president can call for an emergency drawdown from the SPR if the country is confronted with an economically-threatening supply disruption. That was the case after Hurricane Katrina in 2005, which shuttered major U.S. oil producers and refiners.

The SPR can also release oil in an exchange agreement, in which it loans crude to a company, which later replaces the crude and supplies the reserve with premium barrels as a form of interest.

The table below lists key releases from stockpiles.

Agency Release Event Details

Date

IEA Sept. Hurricane IEA made 2 million bpd of

2005 Katrina oil available for 30 days

SPR Aug. Hurricane SPR Loaned 1 million

2012 Isaac barrels of crude to

Marathon Petroleum Corp.

SPR Sept. Hurricane SPR delivered 5,389,000

2008 Gustav & barrels of crude to five

Ike companies whose normal

supplies had been

interrupted to the point

that the companies could

continue to operate,

refine the crude oil into

products, and deliver

those products to U.S.

consumers

SPR Jun-06 Calcasieu SPR loaned 750,000

Ship barrels of crude to

Channel refiners unable to

Closure receive deliveries while

the shipchannel was

closed

SPR Sept. Hurricane SPR loaned 9.8 million

2005 Katrina barrels to U.S. refiners

Reporting By Jessica Resnick-Ault; Editing by Tom Brown

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below