DOE Withdraws Recently Announced Bid for Crude to Fill SPR
3/26 9:13 AM
DOE Withdraws Recently Announced Bid for Crude to Fill SPR OAKHURST, N.J. (DTN) --- The Department of Energy on Wednesday (3/25) withdrew its solicitation last week for the purchase of 30 million bbl of crude oil toward the fill of the Strategic Petroleum Reserve, documents show. "Given the current uncertainty related to adequate Congressional Appropriations for crude oil purchased associated with the March 19, 2020 solicitation, the Department is withdrawing the solicitation. Should funding become secure for the planned purchases, the Department will reissue the solicitation," the paperwork read. According to reports, funding for the purchase was not included in the $2 million stimulus bill passed by the Senate in response to the COVID-19 pandemic. On March 19, DOE announced the solicitation of an initial purchase of 30 million bbl of sweet and sour crude oil from small to midsize domestic producers in efforts to fill the SPR and support domestic producers "facing potentially catastrophic losses from the impacts of COVID-19 and the intentional disruption to world oil markets by foreign actors." At the time, the agency said that at the direction of U.S. President Donald Trump, it would purchase 77 million bbl of crude to fill the reserve. (c) 2020 DTN. All rights reserved.
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