Dumping the country’s oil reserves was the only strategy to lower energy prices that Biden would accept. He continues blocking domestic drilling and taxes remain high. The practical impact of the reserve releases was negligible and, worse still, 5 million barrels of oil from the reserve were actually exported abroad.
More than 5 million barrels of oil that were part of a historic U.S. emergency reserves release to lower domestic fuel prices were exported to Europe and Asia last month, according to data and sources, even as U.S. gasoline and diesel prices hit record highs.
About 1 million barrels per day is being released from the Strategic Petroleum Reserve (SPR) through October. The flow is draining the SPR, which last month fell to the lowest since 1986.
Considering the scale of even the national use, 20 million a day, there was never going to be much of an impact here.
U.S. officials have said oil prices could be higher if the SPR had not been tapped.
Ah, the hypothetical.
Anyway the oil went all over.
The fourth-largest U.S. oil refiner, Phillips 66 PSX.N, shipped about 470,000 barrels of sour crude from the Big Hill SPR storage site in Texas to Trieste, Italy, according to U.S. Customs data. Trieste is home to a pipeline that sends oil to refineries in central Europe.
Atlantic Trading & Marketing (ATMI), an arm of French oil major TotalEnergies TTEF.PA, exported 2 cargoes of 560,000 barrels each, the data showed.
Cargoes of SPR crude were also headed to the Netherlands and to a Reliance RELI.NS refinery in India, an industry source said. A third cargo headed to China, another source said.
Yes, the story wouldn’t be complete without China. Much like the PPP disaster, the government efforts invariably only punish Americans and reward Communist China.