US Reiterates Oil Reserve Release Will Be in Form of an Exchange

The US Energy Department reiterated Sunday that a planned 172-million-barrel release of oil from the country’s Strategic Petroleum Reserve would be structured as an exchange.

The agency gave more details on the release Friday, clarifying it would begin with an exchange — essentially a loan that companies must eventually return with interest — of 86 million barrels. The oil is expected to begin moving to market this coming week. Energy Secretary Chris Wright earlier referred to the action as a release, leading to some confusion among traders who initially interpreted the plan as an outright sale.

An Energy Department spokesman ...