The US Strategic Petroleum Reserve fell to 298.7 million barrels last week, its lowest level since 1983, as oil prices jumped more than 4% on Monday. The rally came as hopes faded for a US-Iran deal over the Strait of Hormuz. Brent crude re-topped $85 a barrel and WTI re-topped $80, extending pressure on global supply that began with the Iran war.
The US Strategic Petroleum Reserve fell by 6.1 million barrels last week to 298.7 million barrels, its lowest level since January 1983. Oil prices reacted by jumping more than 4% on Monday as hopes faded for a breakthrough in US-Iran talks over the Strait of Hormuz.
Brent and WTI jump as Iran talks stall
Brent crude, the international benchmark, re-topped $85 a barrel on Monday. WTI crude, the US benchmark, also re-topped $80 a barrel in the same session. Trump told Axios on Sunday that the US is "low-keying" its approach to Iran over reopening the strait, adding: "We are only semi-negotiating with them."
Reserve falls to lowest level since 1983
The reserve, created in 1975, has been under pressure since Trump ordered the release of 172 million barrels in March after Iran choked off oil exports through the Strait of Hormuz, triggering the largest disruption of crude oil supplies in history. The SPR stood at around 415 million barrels before the US and Israel attacked Iran on Feb. 28. Government stocks will fall to around 243 million barrels once that release is complete. Even so, David Goldwyn, a former State Department special envoy for international energy affairs, said there is enough oil left to do another release if needed.
Aging infrastructure limits further drawdowns
A May report from the Government Accountability Office found the SPR's operational capability is at risk due to aging infrastructure. More than a quarter of its inventory was not available for drawdown due to construction and cavern outages as of December 2025, the GAO found.
A July analysis by Rapidan Energy put the current unusable minimum at 103 million barrels. By comparison, President Biden deployed 180 million barrels from the SPR in early 2022 after Russia invaded Ukraine, the largest release in the reserve's history.
Sources: CNBC, Yahoo Finance
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