US oil reserves: statistics

Governments of different countries and private commercial companies create and maintain reserves of crude oil in order to prepare for possible energy crises. If there is a dramatic reduction in global hydrocarbon production, reserves can compensate for their shortage and support the normal functioning of the economy. Accumulation of a certain amount of crude oil in case of emergency is considered a matter of national security. This guarantees the energy independence of the state from foreign suppliers.

World reserves

According to some estimates, about 4 billion barrels of black gold are stored in reserves around the globe. A third of this amount is controlled by governments. Global consumption is 100 million barrels per day. Thus, global reserves are sufficient to compensate for the complete cessation of crude oil production within 40 days.

Country Distribution

The United States has the largest reserves compared to other countries. The total capacity of their storage facilities is estimated at 700 million barrels. Theoretically, oil reserves in the United States could fill the total lack of supply within 60 days.

But Japan and South Korea do not have their own hydrocarbon deposits and are critically dependent on their imports. The reserves of each of these Asian countries are about two times lower than those of the United States, but are significant by world standards.

The Chinese authorities plan to bring their crude oil reserves to half a billion barrels and to ensure the supply of fuel to the country for 3 months at the most negative developments. It is worth noting that the causes of energy crises are often political.

oil reserves in the usa

Embargo

In 1973, an event occurred that triggered the beginning of the accumulation of crude oil reserves in the United States. Suddenly, an armed conflict broke out between Israel and Egypt. The US government and its allies were involved in the standoff. They decided to support Israel and render assistance to it. Hydrocarbon exporters Arab countries have responded to an oil embargo.The price of the energy source experienced the most explosive growth in its entire history at that time, rising from $ 3 to $ 12 per barrel.

America faced a severe fuel crisis. Her government was forced to urge the population to save gasoline, and many gas stations closed. The embargo led to the recognition of the critical importance of the presence of oil reserves in the United States.

crude oil reserves in usa

Strategic and commercial reserves

Four liquid fuel storage facilities are located in Texas and Louisiana. They are located in artificial salt caves. Stocks in them are controlled by the government and are intended for use in emergency situations. The stores were founded shortly after the embargo by Arab exporters and the energy crisis. They are called US strategic oil reserves. It does not include processed products, such as gasoline, diesel fuel and kerosene.

A commercial oil reserves in the United States means its volume owned by private companies. The statistics take into account all firms owning at least 500 barrels. It is worth noting that the exclusion from the field of view of small enterprises underestimates the real commercial stocks and distorts the overall picture.

oil reserves from us minergo

US Department of Energy Statistics

A special agency is engaged in the collection, analysis and publication of energy data. Its activities should contribute to the development of sound policies in this area. The agency is part of the Ministry of Energy and is called the English abbreviation EIA. It conveys to the general public not only reports on oil reserves in the United States.

Statistical and analytical data provided by the agency address issues related to electricity, natural gas and coal. As stated, this information is completely independent and objective. Among other things, the said organization issues forecasts in various areas of energy. Analytical notes and statistics contain information not only about North America, but also about other countries of the world. Information is provided in an accessible form, designed for an unprepared audience.

US Department of Energy data on oil reserves

Impact on the cost of oil

There is a link between the prices of hydrocarbons and the change in their quantity in strategic and commercial reserves. US statistics on oil reserves is in the spotlight of world trading platforms.A significant decrease or increase in this indicator provokes sharp jumps in the quotations of futures contracts for well-known brands of this energy carrier.

Fluctuations are especially strong if statistics differ from previous forecasts. Theoretically, while reducing reserves, the cost of raw materials should increase, and vice versa. But in practice, it may turn out differently, since it is not only the US Department of Energy news that affects the price. Data on oil reserves are not the only factor.

petroleum statistics

Impact on financial markets

The state of affairs in the energy sector largely determines the overall situation in the economy. Revenues from hydrocarbon exports fill the budget of the Russian Federation and some other mineral-rich countries. The work of industry depends on the supply of energy.

One of the most reliable indicators of the state of the world economy is the volume of transportation, which is directly related to the fuel market. Information about oil reserves from the Ministry of Energy of the United States is looking forward to not only on only those trading floors where hydrocarbon prices are determined.This news may also affect stock prices of various companies and provide an impetus to strengthen or weaken national currencies. Market participants in financial markets are closely watching the latest data on oil reserves and are trying to determine the trends of the world economy with this indicator.

commercial oil reserves in the usa

Change in inventory

Hundreds of millions of barrels hidden in underground caves can be used in emergency situations. The US government authorized the shipment of these resources during the first Gulf War and after the destruction caused by Hurricane Katrina. According to statistics, the dynamics of changes in the volume of reserves is not significant. Oil reserves in the United States are increasing and decreasing within 10%.

The impact of the weekly reports of the Ministry of Energy on world markets can hardly be called justified. The initial purpose of creating reserves was not only to cover a possible shortage of oil, but also to counteract panic prices. In reality, the huge reserves of hydrocarbons are often becoming a tool for manipulation on world trading floors.

Related news

US oil reserves: statistics image, picture, imagery


US oil reserves: statistics 46


US oil reserves: statistics 55


US oil reserves: statistics 11


US oil reserves: statistics 33


US oil reserves: statistics 19


US oil reserves: statistics 16


US oil reserves: statistics 68


US oil reserves: statistics 15