WASHINGTON, September 13 (Hfrance.fr) - The US government has acceptedpty to sell crude oil from the country's emergency reserve to eight companies including Exxon, Chevron and Valero, under an auction slated to raise money for the US budget, the Energy Department said.
The sales were not linked to the energy disruptions caused by Hurricane Ida which swept through the Gulf of Mexico and Louisiana from the United States, but the timing may ease some of these supply strains further.
The contracts total 20 million barrels of oil to be delivered from Strategic Sites of reserves of oil in Texas and Louisiana between Oct. 1 and Dec. 15, the department said in a statement dated September 10 posted online Monday.
The contracts went to Atlantic Trading &Marketing Inc, a branch of the French company Total (TTEF.PA) Chevron USA (CVX.N) , ExxonMobil Oil Corp (XOM.N) , Marathon Petroleum Supply and Trading (MPC.N) , Motiva Enterprises (MOTIV.UL), Phillips 66 Co (PSX.N) , Unipec America Inc and Valero Marketing and Supply Co (VLO.N) , the department said.
Fifteen companies have made bids for oil.
The ministry launched a call for tenders on August 23 to comply with legislation requiring the sale of the emergency oil reserve.
The sell-off comes as oil prices are at a week-long high above $ 70.60 a barrel for US WTI, amid supply concerns over damage from the storm Ida. learn more About three-quarters of offshore oil production in the Gulf of Mexico, or about 1.4 million barrels per day, has been at a standstill since late August.
The SPR, held in a series of salt caves, held 621.3 million barrels as of August 27, of which nearly 70% is so-called acid oil, with a high sulfur content.
Earlier this month, the Energy department cleared prents SPR crude oil to Exxon and Placid Refining Company LLC's refineries in the Baton Rouge area for a total of 3.3 million barrels to help them cope with the oil shortage from the Gulf of States. United. learn more Reporting by Susan Heavey and Timothy Gardner; Edited by Edmund Blair and David Evans
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