SPR drain =1 mil per day till October =Elephant in the roomRight now the North American oil market is somewhat ”balanced" thanks to support from the SPR drain though it’s not going to last forever. In the last 2 weeks the SPR drained by ~14 bbls and yet inventories were still negative by a couple of million. That implies a million bbls a day shortfall currently in the North American Oil Market.
The schedule is for the SPR to release oil until October. I think by then Biden is hoping Shale can ride in and save the day with more output which seems very unlikely to be enough at this point.
Meanwhile eventually the SPR (and other world reserves) should be replenished.
The fall is shaping up to be a very interesting time for the World Oil Market.
