Monday, March 25, 2024

DOE is requesting 2 bids to help refill the SPR at Choctaw Bayou!

Happy Monday!  Welcome back to another week of ESC’s News Blog!

At this point, you know how we enjoy writing follow-ups to our Blog!  Back in January and again in February 2024, we wrote about the Strategic Petroleum Reserve (SPR) buying a total of six million barrels for the two SPR facilities in Texas for delivery this year.   This strategy which has been refilling this American asset has been done in a timely fashion and at a good price! 

Did anyone happen to see the newsletter from ILTA News Plus, March 21, 2024, they had a teaser for an announcement reprinted from the Department of Energy’s (DOE) Office of Cybersecurity, Energy Security, and Emergency Response titled, “U.S. Department of Energy Announces Two Solicitations to Purchase Oil for Strategic Petroleum Reserve Replenishment”?  In the article, it speaks about the U.S. DOE making another request for 3 million barrels of oil for either August or September delivery, and they gave notice of another request for March 21, 2024, for additional bids both to refill the Bayou Choctaw storage facility in Louisiana.  The DOE’s announcement on March 14, 2024, for request for proposals to sell them 1.5 million barrels of oil for delivery at their facility at Bayou Choctaw is due by March 26, 2024, prior to 11 a.m. Central Time.  The bid announcement for another 1.5 million barrels of oil for March 21, 2024, the delivery is for September and the bid proposal is due April 2, 2024, prior to 11 a.m. Central Time.

The DOE started making requests to refill the SPR in the second half of 2023, and they have restored 29.61 million barrels of crude to date as well as 4 million barrels of exchanged crude has been returned.  They will continue their three-part strategy to refill the SPR until they have returned to full capacity.  If you would like to read more of the DOE’s Announcement, please click the link:   U.S. Department of Energy Announces Two Solicitations to Purchase Oil for Strategic Petroleum Reserve Replenishment | Department of Energy.

If you would like to read about the SPR’s Sale and Exchange Program, please click the link: SPR Sales and Exchanges | Department of Energy.

Don’t forget ITLA’s Conference and Trade Show is coming up May 6 – 8, 2024, in Houston, Texas. If you would like more information, please click the link: ILTA2024.  We hope to see you there!

If you would like help in looking into how to transport your product efficiently, safely, and with less of a carbon footprint or just find out what is underneath your feet to help with your emission reduction goals, contact us via email in the blog and check out our ESC's website!

We hope you have a wonderful evening and a productive week!

**Disclaimer: Please refer to U.S. DOE’s Announcement for exact dates and times. **