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This is higher than its previous forecast of $70 a barrel, made in October. However, in March a barrel of WTI crude hit $110, thanks primarily to trading in the futures market. In this context we must know what is a strategic petroleum reserve? Strategic Petroleum Reserves are the world's largest stockpiles of emergency crude oil...


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The oil is stored in underground salt caverns on the coast of the Gulf of Mexico that can hold over 700 million barrels. The federally-owned reserves can replace about two months worth of imports, should that ever become necessary. These are also known as, US Oil Reserves, US Petroleum Reserves. For example, the Strategic Petroleum Reserves were used to replace oil production lost as a result of Hurricane Katrina during the fall of 2005...


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