The US Strategic Petroleum Reserve has plunged below 300 million barrels for the first time in over forty years as global crude prices surged amid fading hopes for a US-Iran peace deal. Meanwhile, geopolitical tensions have prompted major policy shifts in Colombia, Libya, and the Black Sea maritime corridor.
Global market
The US Strategic Petroleum Reserve (SPR) fell below 300 million barrels for the first time since January 1983, following a 6.1 million barrel draw last week that left total reserves at 298.7 million barrels. This massive depletion occurred as Brent crude futures climbed above USD 88 per barrel and West Texas Intermediate rose to USD 82.13 per barrel. The price surge followed fading peace hopes in the Persian Gulf after US President Donald Trump demanded that Iran pay reparations for 50 years of war-related damages. Underlining this fossil-fuel pivot, the US Department of the Interior reached USD 3.9 billion in agreements with energy developers, including TotalEnergies, Bluepoint Wind, Golden State Wind, and Invenergy, to cancel offshore wind projects in a bet on cheap natural gas.
Elsewhere, Colombia’s President Gustavo Petro suspended his signature “Just Energy Transition” agenda to resume oil and gas exploration to combat severe domestic electricity shortages. In North Africa, Libya’s National Oil Corporation urged competing armed factions to halt hostilities after drone strikes and explosions triggered a massive fire at the Zawiya refinery.
Russia & CIS
In a significant diplomatic development, Kyiv agreed not to target non-Russian oil tankers or port infrastructure used for exporting Kazakhstan’s crude through the Black Sea. The private agreement, disclosed by a US official, is expected to secure shipments through the Caspian Pipeline Consortium (CPC) terminal near Novorossiysk. Meanwhile, the maritime transport of Russian crude continues to expand, with G7-linked or Western-insured vessels carrying a three-year high of 36.2% of sea-borne Russian oil in July, up from 34.4% in June.
On the domestic front, the Russian government issued a decree temporarily exempting fuel transporters from weight and size limits until the end of 2026 to resolve persistent local distribution bottlenecks. To further ease small wholesale supply pressures, the St. Petersburg Exchange (SPIMEX) will launch sales of Euro-3 class gasoline on August 13. In the Russian Far East, a minor fire on auxiliary equipment at the Komsomolsk refinery was quickly extinguished without halting fuel output, while daily fuel dispensing limits in Gorny Altai were raised to 50 liters for gasoline and 100 liters for diesel.
Armenia
While there are no direct domestic energy updates for Armenia in today’s reports, Armenian news agencies are closely monitoring global fuel disruptions that impact the region’s energy security. Local outlet News.am extensively analyzed the geopolitical impact of the US strategic reserve dropping to a forty-year low of 298.7 million barrels, alongside US President Donald Trump’s decision to extend the suspension of the Jones Act for an additional 90 days amid high gasoline prices.
Additionally, the broader security implications of the major fire at Libya’s Zawiya refinery were widely reported by Sputnik Armenia. These global disruptions highlight the volatile environment of international fuel markets, where pricing is heavily influenced by fluctuating international market price assessments.
📊 I can prepare an analytical chart comparing the historical volumes of the US Strategic Petroleum Reserve to help you visualize the scale of the current forty-year low.