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OPEC+ plans to boost oil production
The US Strategic Petroleum Reserve (SPR) was not designed to turn a profit. It was established after the first oil shock of 1973-74 to protect the US economy from disruptions in oil supplies. But over the past couple of years, it has enabled some profitable speculation on the part of the US government. Oil from the SPR was sold at an average price of US$95 a barrel in 2022, as Brent crude peaked at over US$125 a barrel in the aftermath of Russia’s invasion of Ukraine. Now the Department of Energy (DOE) is replacing some of the sold barrels at prices of US$79 or below. The reserve has been performing its intended ... (full story)