US to Release Oil from Strategic Reserves, Says UK Consultant

Platts reported that the UK’s Petroleum Policy Intelligence said that the United States plans to release oil from its strategic stockpiles in “the coming days.” Speaking for the US Department of Energy, press secretary Jen Stutsman reiterated that a decision has not been made.

As quoted in the market news:

“Faced with persistently high oil prices that are believed to be undermining other policy measures aimed at re-invigorating economic recovery, the US will go ahead with a release of strategic oil stocks in the coming days, PPI learns from well-informed sources,” the consultancy said in a note to clients.

PPI noted that there had been public resistance from several IEA member countries to such a move being carried out through the agency.

“But there are now indications that senior IEA officials accept that the US will go ahead with a stock release, either through the IEA’s stock release protocol or independently,” PPI said. “The UK and possibly France are likely to support such a move by releasing volumes of their own strategic oil stocks.”

Click here to read the full Platts report.