Cushing crude hub nears 20 million-barrel warning line as inventories fall

Stocks at the delivery point for U.S. West Texas Intermediate futures dropped to 21.6 million barrels, far below typical 40 million levels as Middle East conflict strains global energy flows.

Summary

Cushing, Oklahoma, the delivery hub for U.S. West Texas Intermediate crude futures, is approaching operational limits as disruption tied to Middle East conflict tightens global energy supplies. Inventories stood at 21.6 million barrels in the latest U.S. Energy Information Administration (U.S. government energy statistics agency) data, close to the industry’s roughly 20 million-barrel warning threshold. That is well below normal levels of about 40 million barrels and far under the site’s maximum capacity of 75 million barrels.

Terms & Concepts
  • West Texas Intermediate crude futures: Contracts tied to benchmark U.S. oil prices.
  • delivery hub: Location where futures contracts can be settled.