• 10 hours Retail On Pace For Most Bankruptcies And Store Closures Ever In One Year: BDO
  • 10 minutes America Could Go Fully Electric Right Now
  • 1 day Majors Oil COs diversify into Renewables ? What synergies forget have with Solar Panels and Wind Tirbines ? None !
  • 20 mins Clean Energy Is Canceling Gas Plants
  • 10 mins GAME CHANGER: MIT Startup Commonwealth Fusion says Commercial Product by early 2030s ! THIS CHANGES EVERYTHING..
  • 4 hours OP article : "Trump blasts Biden Fracking Plan . . . "
  • 52 mins America's Frontline Doctors - Safely Start Living Again!
  • 16 mins Biden denies fracking ban
  • 6 hours "COVID Kills Another Oil Rally" by Tom Kool 10/16/2020
  • 1 day Vote Biden for Higher Oil Prices
  • 58 mins Conoco Pledges ‘Net-Zero’ Emissions in Break With U.S. Rivals
  • 2 days Tesla Model 3 Is September's Top Selling Car of All Vehicles in Switzerland
  • 2 days France Sees 10.6% EV Market Share In September — 4× Growth Year On Year
  • 2 days TX NATGAS flaring
  • 22 hours A sneak peak into the US election
OPEC+ Is On The Brink Of A Crisis

OPEC+ Is On The Brink Of A Crisis

OPEC+ members are on the…

U.S. Gasoline Demand Drops  

U.S. Gasoline Demand Drops  

U.S. gasoline demand is weakening,…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

U.S. Oil Storage May Have Room For ‘’Several Hundred Million Barrels’’

The U.S. is working on ways to expand storage space to add several hundred million more barrels to it, Treasury Secretary Steven Mnuchin said at a White House briefing, as quoted by Reuters.

“We’re also exploring potentially having the ability to store another several hundred million barrels, so we’re looking at lots of different options,” Mnuchin said after announcing that the federal government was drafting a plan to prop up troubled local oil producers.

The federal government already leased out 23 million barrels worth of storage space in the Strategic Petroleum Reserve to nine energy companies, and oil is already flowing into the SPR. In April, over 1 million barrels were sent to the SPR. 

The Strategic Petroleum Reserve could hold up to 714 million barrels of crude. Currently, its occupancy is about 636 million barrels, Reuters notes.

The Cushing, Oklahoma, hub is also filling up. The current occupancy rate of the complex is about 70 percent, but according to traders, it is actually fully booked by companies seeking storage space for their oil. Cushing’s maximum capacity is about 80 million barrels, but its working capacity is 76 million barrels, according to Reuters. As of April 17, the amount of oil stored there stood at 53 million barrels.

Oil is being stored offshore as well. Off the coast of California alone, there are tankers loaded with some 20 million barrels of crude, idled offshore with the oil nowhere to go.

“It’s unbelievable. It’s prices that are so low, and in some cases we’re storing oil and getting paid for storage because we have a tremendous capacity for it,” President Trump said. “So what’s happened with these strategic reserves is incredible.”

Trump also told the media that he will be announcing his plan for helping the oil industry soon without providing any details. According to reports, the plan will boil down to a loan lifeline, although Mnuchin told reporters, “This is not going to be a bailout.”

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Ran Rich on April 30 2020 said:
    Put the oil in wells that have already been pumped dry. Must be room for millions of barrels there. Put in the ground for 15 and pump it back put later when its high enough.
  • Mike Berger on April 30 2020 said:
    Great! Just what the world needs more subsidies for the most heavily subsidized industry on the planet.

    Over production is from 10-30 million barrels a day. What ever they find will only suck up a weeks surplus.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News