US strategic oil reserves hit lowest level since 1983 amid supply releases

U.S. strategic petroleum reserves have fallen to their lowest point since 1983, a consequence of releases aimed at mitigating global oil supply disruptions. Data from the U.S. Energy Information Administration (EIA) shows reserves at 304.8 million barrels in the week of July 25-31.

This level is the lowest recorded since February 1983, when reserves were at 305.3 million barrels. The releases began following disruptions to oil flow through the Strait of Hormuz, which impacted global markets by approximately 20 million barrels per day. While some pipeline capacity helped offset part of the loss, a significant supply deficit emerged.

In response, the International Energy Agency initiated its largest coordinated strategic stock release, pledging 400 million barrels from member countries. The U.S. Department of Energy announced its participation, releasing 172 million barrels from its strategic reserves over a 120-day program starting in March.

Since the end of March, U.S. reserves have decreased by over 110 million barrels. If the full planned release of 172 million barrels is completed, reserves could drop to around 243 million barrels, the lowest since EIA began weekly data collection in 1982. The highest reserves on record were over 726 million barrels in early 2010.