American companies have been nowhere to store the extra oil, and they began to enter into contracts for the temporary placement of materials in the Strategic petroleum reserve. About it writes Bloomberg.
The U.S. Department of energy on April 14 reported that in discussion with the local oil company is the possibility of renting volume in the strategic reserve of the country for storage of raw materials. It was then discussed that the main volumes of oil may be brought into the reserve in may and June 2020.
According to the interlocutor of Agency, the Agency ultimately concluded lease contracts with companies of volume corresponding to 23 million barrels. According to Bloomberg, in April, us oil companies have already pumped into the reserve of 1.1 million barrels. To get back their raw materials, the company can until March 2021. They will be charged a small percentage as a fee for storage.
Earlier, the President of the United States Donald trump announced that Washington amid historic fall in oil prices will take a moment to replenish the strategic reserve of cheap raw materials. The United States plans to upload to store up to 75 million barrels. He added that for the first time in a long time, the state oil reserves will be completely filled.
The maximum amount of the Strategic petroleum reserve is 713,5 million barrels. It was created after the world energy crisis of 1973, in case of emergency. Currently four repositories in salt formations contains about 635 million barrels of oil.
Oil prices fall in 2020, amid falling demand due to pandemic coronavirus and fill the world’s data storage. In April, the value of American raw materials WTI dropped below zero. April 20, may futures for raw materials fell to minus 40 dollars per barrel.
Video, photo All from Russia.