The sale of 180 million barrels of crude oil (about 29 billion liters) from its own strategic reserve announced by the US government in March is almost complete. As a senior government official said, US President Joe Biden will announce today that the last 15 of the 180 million barrels will be sold.

In view of high gasoline prices as a result of the Ukraine war, the US government decided on the historic release - with the aim of depressing the market price of crude oil. Shortly before the US midterm elections, the US President is now putting the issue on the agenda in order to score points with voters.

Further oil sales from the strategic reserve are possible this winter "if necessary due to Russian or other actions disrupting global markets," the government official said. He did not provide specific information about the scope and timing of the sale.

Gasoline price down in US

According to the information, the price of gasoline in the US has fallen by around US$1.15 per gallon to an average of US$3.39 since peaking in June. It is currently about 30 cents higher than on February 24, when the war in Ukraine began.

The strategic petroleum reserve is an emergency stockpile intended to provide access to petroleum in the event of natural disasters or national security crises. The reserve is managed by the Department of Energy and has a maximum capacity of 727 million barrels. After the start of the war in Ukraine, the US banned imports of Russian crude oil and petroleum products, which reduced supply and pushed prices up further.

At the beginning of October, the oil alliance OPEC announced that it would reduce oil production. From November onwards, the association of 23 countries wants to produce two million barrels (159 liters each) less oil per day. It's the biggest cut in oil production in a long time. The USA, on the other hand, had been demanding that OPEC turn on the oil tap for months - also in the interests of the global economy. Russia is seen as a strong supporter of tighter oil supplies.