US Energy Department: Will only buy up to 1 mln bbls of sweet crude oil, below 30 mln bbls original plan

US Energy Department says it will buy up to 1 mln bbls of sweet crude oil for strategic reserve from small to midsize domestic producers. However, this is far less than the original plan to buy up to 30mln bbls.

Key notes

Dept says oil purchase for SPR will serve as a test of conditions of physical crude oil available to the reserve.
Purchase of up to 1 mln bbls of crude for US SPR is far less than the original plan to buy up to 30 mln bbls.

WTI update

• WTI: Under pressure, OPEC cuts 2020 demand forecasts, US dollar on a tear