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DOE Accepts Bids for Northeast Home Heating Oil Stocks

February 3, 2011 - 12:00pm

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Washington, DC - The U.S. Department of Energy (DOE) today has awarded contracts to three companies who successfully bid for the purchase of 984,253 barrels of heating oil from the Northeast Home Heating Oil Reserve.

Awardee Amount
Morgan Stanley 500,000 barrels
Shell Trading U.S. Company 250,000 barrels
George E. Warren Corporation 234,253 barrels

 

Today’s sale was the first held as part of the Department’s initiative to convert the current 1,984,253-barrel heating oil reserve to cleaner burning ultra low sulfur distillate. Contracts for the heating oil will be executed upon final payment to DOE; final payment is required no later than 5:00 p.m., EST, February 7, 2011. Purchasers must take delivery of the heating oil from the Hess First Reserve Terminal in Perth Amboy, NJ no later than March 31, 2011.

DOE will receive approximately $113 million from these awards.

More than one sales offering is planned until DOE has achieved its sales goal. A second NEHHOR Notice of Sale is planned for Monday, February 7, 2011.

To register for notices of sale, visit https://www.fossil.energy.gov/heatingoil/.

 

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