The United States will transfer 870,000 barrels of oil from its strategic reserve to Shell Trading (US) Company, Shell’s US subsidiary. This was reported by the US Department of Energy, reports Reuters…
“The US Department of Energy has approved <...> the transfer of 870 thousand barrels of oil from the strategic reserve of the Shell Trading (US) Company,” the statement says.
Biden decided to “print” strategic oil reserves
The transfer is carried out within the framework of the so-called exchange procedure, which assumes that the company borrows oil from the country’s oil reserve for a short period of time, and is later obliged to return it in full, as well as taking into account a “surcharge depending on the length of the period during which it keeps oil, ”the department says.
The United States began selling oil from reserve stocks on December 17 in order to stabilize gasoline prices at gas stations. The first batch sold amounted to 18 million barrels. From this period until January 12, four such transactions have already been concluded.