The Biden administration is expected to release more oil from the Strategic Petroleum Reserve (SPR) this week in a desperate attempt to lower gas prices before next month’s midterm elections.
Three sources familiar with the matter told Reuters that President Joe Biden plans to sell the oil from the SPR in the hopes that lower gas prices will help the Democrats in congressional elections in November. According to one of the sources, Biden’s announcement is expected this week, and the president plans to announce it as part of the U.S. response to the Russian invasion of Ukraine.
The news of Biden’s plans was shared late on Monday evening in a tweet from Bloomberg’s senior White House reporter, Jennifer Jacobs.
“Scoop: Biden admin to release another 10-15 million oil barrels from nation’s emergency stockpile in a bid to balance markets/keep gas prices from climbing, sources tell @jendlouhyhc @AriNatter & me. It’s latest tranche from 180m-barrel plan. WH to also share plans to replenish SPR,” Jacobs wrote.
In May, Biden initiated a plan to release of 180 million barrels from the SPR. This week’s release will reportedly involve the remaining 14 million barrels from that plan.
According to another source who spoke to Reuters, the Biden administration has also spoken with oil companies about selling another 26 million barrels, which was part of a congressionally mandated sale that began on October 1 for fiscal year 2023.
Reuters also noted that the Department of Energy supposedly has plans to eventually buy the oil back, details of which will be released at a later date.
Skyrocketing gas prices across the United States have contributed to soaring inflation, which has caused approval ratings for Biden and the Democrats to decrease ahead of the midterm elections. While the Democrats hope to maintain control of Congress, analysts have predicted that the Republicans will likely retake the majority in response to the current state of the economy.
Meanwhile, news recently broke that the Biden administration had allegedly been pressuring Saudi Arabia to postpone OPEC’s planned oil production cut until after the midterms. Their pleas to delay the production cut, along with Biden’s consistent draining of the SPR have led to accusations that the president is trying to bribe the American people with artificially deflated gas prices to keep the Democrats in power.
Saudis release bombshell statement saying Biden DID try and delay oil production cut until AFTER the midterms in desperate bid to avoid gas prices spikinghttps://t.co/UUVyRXWtn3
— Jack Posobiec 🇺🇸 (@JackPosobiec) October 13, 2022