By Enemona Samuel Endurance
The amount of crude oil stored in the United States Strategic Petroleum Reserve (SPR) has fallen to its lowest level since 1983 as the administration of President Donald Trump continues to release emergency supplies to cushion the impact of the ongoing conflict with Iran on global energy markets.
According to newly released federal data, U.S. authorities released an additional 8.9 million barrels of crude oil from the reserve last week alone.
The latest withdrawal brings the total decline in the SPR to 75 million barrels, representing an 18 per cent reduction since the outbreak of the Iran conflict in late February.
Emergency Oil Reserve Drops to Historic Low
Current figures show that the Strategic Petroleum Reserve now holds approximately 340.3 million barrels of crude oil, placing the reserve at less than half of its storage capacity.
The previous record low was set in July 2023 during the administration of former President Joe Biden following oil market disruptions associated with Russia’s military operations in Ukraine.
Analysts say the reserve remains one of Washington’s most important tools for responding to energy market disruptions, although the prolonged conflict has also highlighted concerns over the sustainability of continued releases.
Trump Administration Uses SPR to Stabilise Energy Prices
The Strategic Petroleum Reserve has become a major policy instrument for the Trump administration as it seeks to shield consumers, businesses and the broader economy from rising energy prices.
Energy experts believe the emergency releases have helped prevent a more severe oil price shock.
“The Strategic Petroleum Reserve releases, combined with releases by other governments and China reducing its exports, have prevented the Armageddon scenario of $150 oil from happening to date,” said Andy Lipow, President of Lipow Oil Associates.
Concerns Grow Over Reserve Levels
Industry stakeholders have, however, expressed concerns over the declining stockpile.
Mike Sommers, Chief Executive Officer of the American Petroleum Reserve, warned that the SPR must maintain a minimum operational threshold.
“We’re raising alarm bells right now,” Sommers said during an interview with CNN. “We’re getting to levels where we are starting to be concerned.”
The last time the reserve held less oil than its current level was in July 1983, during the administration of President Ronald Reagan when the reserve was still being established and the U.S. economy was considerably smaller.
Global Energy Markets Remain Under Pressure
Analysts say the continued drawdown of the SPR reflects the broader pressure facing global energy markets amid geopolitical tensions and supply uncertainties linked to the Iran conflict.
With the reserve now at one of its lowest levels in four decades, attention is increasingly shifting to how the United States will balance immediate market interventions with long-term energy security considerations.
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