UNITED STATES OIL FUND, LP Management's Discussion and Analysis of Financial Condition and Results of Operations. (form 10-K)

The following discussion should be read in conjunction with the financial statements and the notes thereto of USO included elsewhere in this annual report on Form 10-K.

Forward-Looking Information

This annual report on Form 10-K, including this "Management's Discussion and
Analysis of Financial Condition and Results of Operations," contains
forward-looking statements regarding the plans and objectives of management for
future operations. This information may involve known and unknown risks,
uncertainties and other factors that may cause USO's actual results, performance
or achievements to be materially different from future results, performance or
achievements expressed or implied by any forward-looking statements. USO
believes these factors include, but are not limited to, the following: changes
in inflation in the United States, movements in U.S. and foreign currencies,
market volatility in the crude oil markets and futures markets in part
attributable to the COVID-19 pandemic, related supply chain disruption, ongoing
disputes among oil-producing countries, uncertainties associated with the impact
from the coronavirus (COVID-19) pandemic, including: its impact on the global
and U.S. capital markets and the global and U.S. economy, the length and
duration of the COVID-19 outbreak in the United States as well as worldwide and
the magnitude of the economic impact of that outbreak, the effect of the
COVID-19 pandemic on USO's business prospects, including its ability to achieve
its objectives, and the effect of the disruptions caused by the COVID-19
pandemic on our ability to continue to effectively manage our business.
Forward-looking statements, which involve assumptions and describe USO's future
plans, strategies and expectations, are generally identifiable by use of the
words "may," "will," "should," "expect," "anticipate," "estimate," "believe,"
"intend" or "project," the negative of these words, other variations on these
words or comparable terminology. These forward-looking statements are based on
assumptions that may be incorrect, and USO cannot assure investors that the
projections included in these forward-looking statements will come to pass.
USO's actual results could differ materially from those expressed or implied by
the forward-looking statements as a result of various factors.

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USO has based the forward-looking statements included in this annual report on
Form 10-K on information available to it on the date of this annual report on
Form 10-K, and USO assumes no obligation to update any such forward-looking
statements. Although USO undertakes no obligation to revise or update any
forward-looking statements, whether as a result of new information, future
events or otherwise, investors are advised to consult any additional disclosures
that USO may make directly to them or through reports that USO files in the
future with the Securities and Exchange Commission (the "SEC"), including annual
reports on Form 10-K, quarterly reports on Form 10-Q and current reports on

Form
8-K.

Introduction

USO, a Delaware limited partnership, is a commodity pool that issues shares that
may be purchased and sold on the NYSE Arca. The investment objective of USO is
for the daily changes in percentage terms of its shares' per share NAV to
reflect the daily changes in percentage terms of the spot price of light, sweet
crude oil delivered to Cushing, Oklahoma, as measured by the daily changes in
the price of the futures contract for light, sweet crude oil traded on the NYMEX
that is the near month contract to expire, except when the near month contract
is within two weeks of expiration, in which case it will be measured by the
futures contract that is the next month contract to expire (the "Benchmark Oil
Futures Contract"), plus interest earned on USO's collateral holdings, less
USO's expenses. "Near month contract" means the next contract traded on the
NYMEX due to expire. "Next month contract" means the first contract traded on
the NYMEX due to expire after the near month contract. USO seeks to achieve its
investment objective by investing so that the average daily percentage change in
USO's NAV for any period of 30 successive valuation days will be within
plus/minus ten percent (10%) of the average daily percentage change in the price
of the Benchmark Oil Futures Contract over the same period. As described below,
USO is currently unable to pursue its investment objective with the same high
degree of success that it has in the past due to its limited ability to invest
in the Benchmark Oil Futures Contract and certain other Oil Futures Contracts,
as defined below, to the same extent it was able to before the market conditions
and regulatory limitations imposed on USO, which occurred in the Spring of 2020,
and risk mitigation measures taken by USO's FCMs as a result, as described
herein, arose. As a result of such market conditions, the regulatory conditions
that were and could again be imposed, and the risk mitigation measures imposed
by its FCMs, there is still uncertainty as to whether USO will be able to
achieve its investment objective within as narrow a percentage change difference
in its NAV for any period of 30 successive valuation days and the average daily
percentage change in the price of the Benchmark Oil Futures Contract as it
typically had prior to the Spring of 2020 due to the foregoing factors.

USO's investment objective is not for its NAV or market price of shares to
equal, in dollar terms, the spot price of light, sweet crude oil or any
particular futures contract based on light, sweet crude oil, nor is USO's
investment objective for the percentage change in its NAV to reflect the
percentage change of the price of any particular futures contract as measured
over a time period greater than one day. The general partner of USO, United
States Commodity Funds, LLC ("USCF"), believes that it is not practical to
manage the portfolio to achieve such an investment goal when investing in Oil
Futures Contracts and Other Oil-Related Investments.

USO invests primarily in futures contracts for light, sweet crude oil, other
types of crude oil, heating oil, gasoline, natural gas and other petroleum-based
fuels that are traded on the NYMEX, ICE Futures or other U.S. and foreign
exchanges (collectively, "Oil Futures Contracts") and to a lesser extent, in
order to comply with regulatory requirements, risk mitigation measures,
liquidity requirements, or in view of market conditions, other oil-related
investments such as cash-settled options on Oil Futures Contracts, forward
contracts for oil, cleared swap contracts and OTC swaps that are based on the
price of oil, other petroleum-based fuels, Oil Futures Contracts and indices
based on the foregoing (collectively, "Other Oil-Related Investments"). For
convenience and unless otherwise specified, Oil Futures Contracts and Other
Oil-Related Investments collectively are referred to as "Oil Interests" in this
annual report on Form 10-K.

USCF believes that market arbitrage opportunities will cause daily changes in
USO's share price on the NYSE Arca on a percentage basis to closely track daily
changes in USO's per share NAV on a percentage basis but there can be no
assurance of that. USCF further believes that daily changes in prices of the
Benchmark Oil Futures Contract have historically closely tracked the daily
changes in spot prices of light, sweet crude oil. USCF believes that the net
effect of these relationships will be that the daily changes in the price of
USO's shares on the NYSE Arca on a percentage basis will closely track the daily
changes in the spot price of a barrel of light, sweet crude oil on a percentage
basis, plus interest earned on USO's collateral holdings, less USO's expenses.

As noted above, USO seeks to achieve its investment objective by investing so
that the average daily percentage change in USO's NAV for any period of 30
successive valuation days will be within plus/minus ten percent (10%) of the
average daily percentage change in the price of the Benchmark Oil Futures
Contract over the same period. Historically, USO has achieved its investment
objective by primarily investing in the Benchmark Oil Futures Contract and Oil
Futures Contracts for light, sweet crude oil traded on NYMEX and ICE Futures
with the same maturity month as the Benchmark Oil Futures Contract Certain
circumstances could cause and have caused, as discussed below, USO to invest in
Oil Futures Contracts other than the Benchmark Oil Futures Contract and may
cause USO to invest in Other Oil-Related Investments, including OTC swaps. Such
circumstances include: the need to comply with regulatory requirements
(including, but not limited to, exchange accountability levels and position
limits imposed by NYMEX discussed below); market conditions (including but not
limited to those allowing USO to obtain greater liquidity or to execute
transactions with more favorable

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pricing); and risk mitigation measures taken by USO's FCM, RBC Capital, and other FCMs that limit USO and other market participants from investing in particular crude oil futures contracts.

As a result of market and regulatory conditions, including significant market
volatility, large numbers of USO shares purchased during a short period of time,
and applicable regulatory accountability levels and position limits on oil
futures contracts that were imposed on USO in 2020, including as a result of the
COVID-19 pandemic and the state of crude oil markets, USO has invested in Oil
Futures Contracts (as defined above) in months other than the Benchmark Oil
Futures Contract. The foregoing has impacted the performance of USO and its
ability meet its investment objective within as narrow a percentage difference
between the average daily percentage change in USO's NAV for any period of 30
successive valuation days and the average daily percentage change in the price
of the Benchmark Oil Futures Contract as it typically had prior to the Spring of
2020.

USO's investment in Oil Futures Contracts in months other than the Benchmark Oil
Futures Contract, other Oil Futures Contracts and Other-Oil Related Interests
(as defined below), is intended to be temporary but may continue indefinitely if
the aforementioned market and regulatory conditions do not abate. Until such
time as USO is able to return to investing in the Benchmark Oil Futures
Contract, its performance and ability to meet its investment objective will
continue to be impacted.

The following chart shows, for the period ending December 31, 2021, the rolling
30-day average difference between USO's NAV and the Benchmark Oil Futures
Contract. This is measured by subtracting the return of the Benchmark Oil
Futures Contract from the return on USO's NAV for each of the last thirty
business days, and then averaging those thirty differences. The calculation

is
repeated daily.

                           [[Image Removed: Graphic]]

In 2020, significant market volatility occurred in the crude oil markets and the
oil futures markets. Such volatility was attributable to the COVID-19 pandemic,
related supply chain disruptions and ongoing disputes among oil-producing
countries. These conditions, together with the prospect that such conditions
could reoccur, severely limited and continue to significantly limit USO's
ability to have a substantial portion of its assets invested in the Benchmark
Oil Futures Contract and certain other Oil Futures Contracts of the same month,
such as cash-settled, but substantially similar, oil futures contracts traded on
ICE Futures (the "ICE WTI Contract"). Specifically:

In 2020, NYMEX and ICE Futures imposed accountability levels and position

limits on USO's investments in the Benchmark Oil Futures Contract and the ICE

WTI Contract, respectively. As described in more detail below, the NYMEX

ordered USCF, USO and the Related Public Funds (as defined herein) not to

assume a position in the light sweet crude oil futures contract for June 2020

? in excess of 15,000 long futures contracts, for July 2020 in excess of 78,000

long futures contracts, for August 2020 in excess of 50,000 long futures

contracts, and for September 2020 in excess of 35,000 long futures contracts.

While these limits no longer apply, NYMEX's current accountability levels for

any one month in the Benchmark Oil Futures Contract is 10,000 contracts, and

accountability levels for all months which is 20,000 net futures contracts for

   light sweet crude oil, do


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  apply. In addition, the ICE WTI Contract is subject to spot month and

all-months-combined position limits established under the European Union's

Market in Financial Instruments Directive, as implemented by the Financial

Conduct Authority in the United Kingdom. ICE Futures also imposes accountability

levels and position limits on the ICE WTI Contract. Investors should note that

the foregoing accountability levels and position limits are subject to change

and could change the amount and type of permitted investments in which USO

invests. See "Accountability Levels, Position Limits and Position Limits and

Price Fluctuation Limits" below.

In 2020, RBC imposed risk mitigation measures that constrained USO's ability to

invest in the Benchmark Oil Futures Contract and other Oil Futures Contracts.

RBC, which at the time was USO's only FCM, expressly informed USO that USO may

not hold positions in the June Benchmark Oil Futures Contract expiring on May

19, 2020. At the time it imposed this restriction, RBC continued to trade and

clear other Oil Futures Contracts for USO, including in connection with rolls

and rebalances of its portfolio. RBC also advised USO at that time, that, going

? forward, it may only purchase additional Benchmark Oil Futures Contracts and

other Oil Futures Contracts through RBC for rolls and rebalances of USO's

portfolio and not as investments for the proceeds of new Creation Baskets. The

limits on positions imposed by RBC on holdings in USO's portfolio applied

regardless of whether the Oil Futures Contracts purchased would be within the

accountability levels and position limits permitted by NYMEX and ICE. RBC has

since informed USO that USO may resume repurchasing Oil Futures Contracts for

investment of the proceeds from Creation Baskets.

Subsequent to RBC's imposition of risk mitigation measures in 2020, USO entered

into agreements with RCG, MCM and MFUSA to become additional FCMs for USO.

These FCMs have not precluded USO from purchasing, holding, or reinvesting the

proceeds from the purchases of Creation Baskets in Oil Futures Contracts,

including the Benchmark Oil Futures Contract. However, limits could be imposed

by any FCM that, coupled with the risk measures already taken by RBC, would

? continue to limit USO's ability to have a substantial portion of its assets

invested in the Benchmark Oil Futures Contract. USO cannot predict with any

certainty when and whether RBC will remove its limitations on holding certain

positions in Oil Future Contracts, or whether, or to what extent, any such

limits may be imposed by any other FCM in the future. USO may enter into

agreements with other FCMs and it cannot predict whether or when it will enter

into such agreements.

? A large number of USO shares were purchased during a relatively short period of

time in March and April 2020.

These events significantly limited USO's current ability to have a substantial
portion of its assets invested in the Benchmark Oil Futures Contract and, during
the Spring of 2020, in other Oil Futures Contracts. Accordingly, and because
such factors have continued to evolve, USO has invested in other permitted Oil
Futures Contracts and had to more frequently rebalance and adjust the types of
holdings in its portfolio than it has in the past. In addition, the limitations
imposed by the exchanges and FCMs, especially during the Spring of 2020, limited
USO's ability to invest in certain Oil Futures Contracts. As a result, USO was
and will be limited in its ability to invest in Oil Futures Contracts, including
the Benchmark Oil Futures Contract, and may be required to invest in other
permitted investments including Other Oil-Related Interests, such as OTC swaps,
and may hold larger amounts of Treasuries, cash and cash equivalents, which will
further impair USO's ability to meet its investment objective.

USO has had the ability to invest in Oil Futures Contracts beyond the Benchmark
Oil Futures Contract and in Other Oil-Related Investments but, until recently,
USO's need to exercise its discretion in making such investments has been
limited. Certain circumstances including market conditions, applicable
regulatory requirements and risk mitigation measures imposed by FCMs,
counterparties or other market participants, have required USO to exercise
greater discretion in investing than in the past. USO has established parameters
for the decision-making regarding the permitted investments USO will hold and
the intended order of priority it will consider in selecting investments to be
held in USO's portfolio as set forth and discussed in greater detail below. The
application of the below parameters requires USO to exercise its discretion. If,
due to regulatory requirements, risk mitigation measures, market conditions,
liquidity requirements or other factors, USO is not able to invest in accordance
with such parameters and the intended order of priority, such methodology may
change. The type and percentages of investments to be held by USO at the end of
the monthly roll period as well as for any rebalances are published on USO's
website at www.uscfinvestments.com.

Accordingly, for the foreseeable future, to address and comply with the market
conditions, regulatory requirements or other factors that have influenced, and
may continue to influence, its investment decisions, USO intends to buy or sell
the following permitted investments taking into account the order, or waterfall,
set forth below when USO increases or decreases either its portfolio overall or
its holdings of particular investments:

The current or front month ("first month") Oil Futures Contracts based on the

price of the light, sweet crude oil known as West Texas Intermediate ("WTI")

1. or, which are priced off of the oil futures contracts based on WTI as traded

on the NYMEX including the Benchmark Oil Futures Contracts and the ICE WTI

    Contract ("WTI Oil Futures Contracts"); then


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The first month, the next or following month ("second month", with months

2. thereafter being numerically designated, i.e., the third month, the fourth

month, the fifth month, etc.) and the third month WTI Oil Futures Contracts;

then

The first through the sixth month WTI Oil Futures Contracts, plus the next

3. nearest June WTI Oil Futures Contracts or the next nearest December WTI Oil

Futures Contracts that is not included in the first through sixth months; then

4. The first through the twelfth month WTI Oil Futures Contracts; then

The first through the twelfth month WTI Oil Futures Contracts plus the second

5. through thirteenth month Oil Futures Contracts based on Brent Crude Oil traded

on ICE Futures ("Brent Oil Futures Contracts"); then

The first through the twelfth month WTI Oil Futures Contracts plus the second

6. through thirteenth month Brent Oil Futures Contracts plus the first through

the twelfth month Oil Futures Contracts based on Ultra Low Sulfur Diesel Oil

Futures Contract traded on NYMEX ("USDL Oil Futures Contract"); then

The first through the twelfth month WTI Oil Futures Contracts plus the second

through thirteenth month Brent Oil Futures Contracts plus the first through

7. the twelfth month USDL Oil Futures Contracts plus the first through the

    twelfth month RBOB Gasoline Oil Futures Contracts ("Gasoline Futures
    Contract"); then

USO may also utilize the Oil Futures Contracts based on WTI, WTI Oil Futures

Contacts or other types of crude oil traded on the Dubai, Singapore, and

8. Houston exchanges, if and when these contracts reach sufficient scale and

liquidity to meaningfully contribute to USO's investment objective, in

addition to the foregoing investments; then, finally,

9. Other Oil-Related Investments, in addition to the foregoing investments.

USO will progress through the stages of the above-described waterfall of
permitted investments as it approaches regulatory or other limits or as
necessary to address market conditions, liquidity requirements or other factors,
including additional investments in USO, requiring consideration of particular
levels of the waterfall. Generally, USO will invest in each stage of the
waterfall in the order described above. However, USO, in its sole discretion,
may proceed to invest in a further stage of the waterfall (i.e., skipping over a
particular stage) if it determines it may exceed position limits in the
immediately following stage of the above waterfall within the next month or due
to other regulatory requirements, risk mitigation measures, market conditions,
liquidity requirements or other factors.

If, due to regulatory requirements, risk mitigation measures, market conditions,
liquidity requirements or other factors, USO is not able to invest in a
particular month contract described above, then it will adjust the methodology
incrementally beginning from the nearest month contract available to it that it
is reasonable or feasible to hold in light of such factors.

If USO uses OTC swaps or other instruments, those OTC swaps or instruments would
also provide exposure to one or more of the same above-described permitted
investments in varying months or contracts. USO also anticipates that to the
extent it invests in Oil Futures Contracts other than WTI Oil Futures Contacts
and Other Oil- Related Investments, it may enter into various
non-exchange-traded derivative contracts to hedge the short-term price movements
of such Oil Futures Contracts and Other Oil-Related Investments against the
current Benchmark Oil Futures Contract.

The progression from one stage of permitted investments described in the above
waterfall to the next stage, including the specific target weights for the
particular portfolio investments to be held by USO, will take into account, to
the extent applicable, the relative levels of open interest, position limits,
and other factors. The specific permitted investments and the identified target
weights for such investments, consistent with progression from one stage of the
above-described waterfall to the next stage, will be published on the website
the day before the start of (i) any monthly roll/rebalance period for the end of
such roll/rebalance period, and (ii) any rebalancing to be done outside of the
monthly roll period due to market conditions, regulatory requirements or other
factors described herein. In extreme circumstances, changes may need to be made
intraday. In such circumstances, the changes will be published on the website at
the end of the day. USO will attempt to execute rebalances required over several
days to minimize market impact. However, it may be necessary to execute these
risk measures rapidly and with minimal notice. Published portfolio changes will
be implemented by USO over the course of the roll/rebalance period as indicated
on the website or over the course of another day or period with respect to a
particular change outside of the roll.

The investment intention announced by USO could change as a result of any or all
of the following: evolving market conditions, liquidity requirements, a change
in regulator accountability levels and position limits imposed on USO with
respect to its investment in Oil Futures Contracts, additional or different risk
mitigation measures taken by market participants, generally, including USO, with
respect to USO acquiring additional Oil Futures contracts, or USO selling
additional shares USO's ability to invest in the Benchmark Oil Futures Contract
could be limited by any of these occurrences. In addition, while determining the
appropriate investments for USO's portfolio

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in accordance with its current intention, or to address the foregoing changes in
market conditions, liquidity requirements, regulatory requirements or risk
mitigation measures, USO may need to hold significant portions of its portfolio
in cash beyond what it has historically held in order to satisfy potential
margin requirements.

USCF may not be able to fully invest USO's assets in Benchmark Oil Futures
Contracts having an aggregate notional amount exactly equal to USO's NAV. For
example, as standardized contracts, the Benchmark Oil Futures Contracts are for
a specified amount of a particular commodity, and USO's NAV and the proceeds
from the sale of a Creation Basket are unlikely to be an exact multiple of the
amounts of those contracts. As a result, in such circumstances, USO may be
better able to achieve the exact amount of exposure to changes in price of the
Benchmark Oil Futures Contract through the use of Other Oil-Related Investments,
such as OTC contracts (e.g., swaps) that have better correlation with changes in
price of the Benchmark Oil Futures Contract.

USCF does not anticipate letting USO's Oil Futures Contracts expire and taking
delivery of the underlying commodity. Instead, USCF will close existing
positions, e.g., when it changes the Benchmark Oil Futures Contracts or Other
Oil-Related Investments or it otherwise determines it would be appropriate to do
so and reinvests the proceeds in new Oil Futures Contracts or Other Oil-Related
Investments. Positions may also be closed out to meet orders for Redemption
Baskets and in such case proceeds for such baskets will not be reinvested.

While it is USO's expectation that at some point in the future it will be able
to return to primarily investing in the Benchmark Oil Futures Contract, there
can be no guarantee of when, if ever, that will occur. In addition, because of
the limitations imposed on USO, for example, by its regulators and its FCMs, USO
may be limited in investing in other Oil Futures Contracts in addition to the
Benchmark Oil Futures Contract. Limitations on USO may negatively impact the
ability of USO (i) to reallocate its investments to more favorably meet its
investment objective or (ii) in connection with the purchase of Creation
Baskets, to invest the proceeds of such purchases in Oil Futures Contracts. As a
result, investors in USO should expect USO's ability to invest in the Benchmark
Oil Futures Contract and other Oil Futures Contracts will continue to be limited
and USO may be required to invest in Other Oil-Related Interests. As a result of
market and regulatory conditions, including significant market volatility, large
numbers of USO shares purchased during a short period of time, and applicable
regulatory accountability levels and position limits on oil futures contracts
that were imposed on USO in 2020, including as a result of the COVID-19 pandemic
and the state of crude oil markets, USO has invested in Oil Futures Contracts in
months other than the Benchmark Oil Futures Contract. The foregoing has impacted
the performance of USO and its ability meet its investment objective within as
narrow a percentage difference between the average daily percentage change in
USO's NAV for any period of 30 successive valuation days and the average daily
percentage change in the price of the Benchmark Oil Futures Contract as it
typically has prior to the Spring of 2020.

[USO's investment in Oil Futures Contracts in months other than the Benchmark
Oil Futures Contract, other Oil Futures Contracts and Other-Oil Related
Interests, is intended to be temporary but may continue indefinitely if the
aforementioned market and regulatory conditions do not abate. Until such time as
USO is able to return to investing in the Benchmark Oil Futures Contract, its
performance and ability to meet its investment objective will continue to be
impacted.]

USO has not leveraged, and does not intend to leverage, its assets through
borrowings or otherwise, and makes its investments accordingly. Consistent with
the foregoing, USO's announced investment intentions, and any changes thereto,
will take into account the need for USO to make permitted investments that also
allow it to maintain adequate liquidity to meet its margin and collateral
requirements and to avoid, to the extent reasonably possible, USO becoming
leveraged. If market conditions require it, these risk reduction procedures may
occur on short notice if they occur other than during a roll or rebalance
period.

Regulatory Disclosure

Accountability Levels, Position Limits and Price Fluctuation Limits. Designated
contract markets ("DCMs"), such as the NYMEX and ICE Futures, have established
accountability levels and position limits on the maximum net long or net short
futures contracts in commodity interests that any person or group of persons
under common trading control (other than as a hedge, which an investment by USO
is not) may hold, own or control. These levels and position limits apply to the
futures contracts that USO invests in to meet its investment objective. In
addition to accountability levels and position limits, the NYMEX and ICE Futures
also set daily price fluctuation limits on futures contracts. The daily price
fluctuation limit establishes the maximum amount that the price of a futures
contract may vary either up or down from the previous day's settlement price.
Once the daily price fluctuation limit has been reached in a particular futures
contract, no trades may be made at a price beyond that limit.

The accountability levels for the Benchmark Oil Futures Contract and other Oil
Futures Contracts traded on U.S.-based futures exchanges, such as the NYMEX, are
not a fixed ceiling, but rather a threshold above which the NYMEX may exercise
greater scrutiny and control over an investor's positions. The current
accountability level for investments for any one month in the Benchmark Oil
Futures Contract is 10,000 contracts. In addition, the NYMEX imposes an
accountability level for all months of 20,000 net futures contracts for light,
sweet crude oil. In addition, the ICE Futures maintains the same accountability
levels, position limits and monitoring

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authority for its light, sweet crude oil contract as the NYMEX. If USO and the
Related Public Funds exceed these accountability levels for investments in the
futures contracts for light, sweet crude oil, the NYMEX and ICE Futures will
monitor such exposure and may ask for further information on their activities
including the total size of all positions, investment and trading strategy, and
the extent of liquidity resources of USO and the Related Public Funds. If deemed
necessary by the NYMEX and/or ICE Futures, USO could be ordered to reduce its
Crude Oil Futures CL contracts to below the 10,000 single month and/or 20,000
all month accountability level. USCF received letters from the CME on behalf of
the NYMEX Market Regulation Department on April 16, 2020 (the "April 16 CME
Letter") and on April 23, 2020 (the "April 23 CME Letter", and together with the
April 16 CME Letter, the "CME Letters"). The CME Letters ordered USCF, USO and
the Related Public Funds not to exceed accountability levels in specified light,
sweet crude oil futures contracts and not to assume any positions in the
specified light, sweet crude oil futures contract in excess of the exchange
established position limits. The accountability levels and position limits are
set forth in the April 23 CME Letter which superseded the April 16 CME Letter.
The April 23 CME Letter ordered USCF, USO and the Related Public Funds not to
exceed accountability levels in excess of 10,000 futures contracts in the light,
sweet crude oil futures contract for June 2020. While these limits no longer
apply, NYMEX current accountability levels for any one month in Benchmark Oil
Futures Contracts, which is 10,000 contracts, and an accountability level for
all months, which is 20,000 net futures contracts for light sweet crude oil do,
apply. As of December 31, 2021, USO held 32,136 NYMEX WTI Crude Oil Futures CL
contracts and did not hold any ICE WTI Crude Oil Futures contracts. USO exceeded
accountability levels of the NYMEX during the year ended December 31, 2021,
including when it held a maximum of 73,956 Crude Oil Futures CL contracts on the
NYMEX, exceeding the "any" month accountability limit.

Position limits differ from accountability levels in that they represent fixed
limits on the maximum number of futures contracts that any person may hold and
cannot allow such limits to be exceeded without express CFTC authority to do so.
In addition to accountability levels and position limits that may apply at any
time, the NYMEX and ICE Futures impose position limits on contracts held in the
last few days of trading in the near month contract to expire. Commencing with
the monthly roll that occurred in May 2020, USO's positions in Oil Futures
Contracts and Other Oil Related Investments roll over a ten-day period, whereas
previously USO's positions would roll over a four-day period. As of May 1, 2020,
the type and percentages of investments to be held by USO at the end of the
monthly roll period as well as for any rebalances are published on its website
www.uscfinvestments.com.

For the year ended December 31, 2021, USO did not exceed any position limits
imposed by the NYMEX and ICE Futures. The April 23 CME Letter, discussed above,
ordered USCF, USO and the Related Public Funds not to assume a position in the
light, sweet crude oil futures contract for June 2020 in excess of 15,000 long
futures contracts, for July 2020 in 78,000 long futures contracts, for August
2020 in 50,000 long futures contracts, for September 2020 in 35,000 long futures
contracts. The foregoing accountability levels and position limits are subject
to change.  Due to evolving market conditions, a change in regulator
accountability levels and position limits imposed on USO with respect to its
investment in Oil Futures Contracts as discussed in the CME Letters, remaining
within relevant accountability levels and position limits, and, additional or
different risk mitigation measures taken by USO's FCM with respect to USO
acquiring additional Oil Futures contracts, USO has invested and intends to
invest in other permitted investments, beyond the Benchmark Oil Futures
Contract.

Futures Contracts and Position Limits

The CFTC is generally prohibited by statute from regulating trading on non-U.S.
futures exchanges and markets. The CFTC, however, has adopted regulations
relating to the marketing of non-U.S. futures contracts in the United States.
These regulations permit certain contracts on non-U.S. exchanges to be offered
and sold in the United States.

On October 15, 2020, the CFTC approved the Position Limits Rule.  The Position
Limits Rule establishes federal position limits for 25 core referenced futures
contracts (comprised of agricultural, energy and metals futures contracts),
futures and options linked to the core referenced futures contracts, and swaps
that are economically equivalent to the core referenced futures contracts.

The Benchmark Oil Futures Contract will be subject to position limits under the
Position Limits Rule, and USO's trading does not qualify for an exemption
therefrom. Accordingly, the Position Limits Rule could negatively impact the
ability of USO to meet its investment objective by inhibiting USCF's ability to
effectively invest the proceeds from sales of Creation Baskets of USO in
particular amounts and types of its permitted investments.

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OTC Swaps

If USO engages in OTC swaps, the following may apply.

Margin requirements

In October 2015, the Office of the Comptroller of the Currency, the Board of
Governors of the Federal Reserve System, the FDIC, the Farm Credit
Administration, and the Federal Housing Finance Agency (each an "Agency" and,
collectively, the "Agencies") jointly adopted final rules to establish minimum
margin and capital requirements for registered swap dealers, major swap
participants, security-based swap dealers, and major security-based swap
participants ("Swap Entities") that are subject to the jurisdiction of one of
the Agencies (such entities, "Covered Swap Entities", and the joint final rules,
the "Final Margin Rules").

The Final Margin Rules will subject non-cleared swaps and non-cleared
security-based swaps between Covered Swap Entities and Swap Entities, and
between Covered Swap Entities and financial end users that have material swaps
exposure (i.e., an average daily aggregate notional of $8 billion or more in
non-cleared swaps calculated in accordance with the Final Margin Rules), to a
mandatory two-way minimum initial margin requirement. The minimum amount of the
initial margin required to be posted or collected would be either the amount
calculated by the Covered Swap Entity using a standardized schedule set forth as
an appendix to the Final Margin Rules, which provides the gross initial margin
(as a percentage of total notional exposure) for certain asset classes, or an
internal margin model of the Covered Swap Entity conforming to the requirements
of the Final Margin Rules that is approved by the Agency having jurisdiction
over the particular Covered Swap Entity. The Final Margin Rules specify the
types of collateral that may be posted or collected as initial margin for
non-cleared swaps and non-cleared security-based swaps with financial end users
(generally cash, certain government, government-sponsored enterprise securities,
certain liquid debt, certain equity securities, certain eligible publicly traded
debt, and gold); and sets forth haircuts for certain collateral asset classes.

The Final Margin Rules require minimum variation margin to be exchanged daily
for non-cleared swaps and non-cleared security-based swaps between Covered Swap
Entities and Swap Entities and between Covered Swap Entities and all financial
end-users (without regard to the swaps exposure of the particular financial
end-user). The minimum variation margin amount is the daily mark-to-market
change in the value of the swap to the Covered Swap Entity, taking into account
variation margin previously posted or collected. For non-cleared swaps and
security-based swaps between Covered Swap Entities and financial end-users,
variation margin may be posted or collected in cash or non-cash collateral that
is considered eligible for initial margin purposes. Variation margin is not
subject to segregation with an independent, third-party custodian, and may, if
permitted by contract, be rehypothecated.

The initial margin requirements of the Final Margin Rules are being phased in
over time, and the variation margin requirements of the Final Margin Rules are
currently in effect. USO is not a Covered Swap Entity under the Final Margin
Rules, but it is a financial end-user. Accordingly, USO is currently subject to
the variation margin requirements of the Final Margin Rules. However, USO does
not have material swaps exposure and, accordingly, USO will not be subject to
the initial margin requirements of the Final Margin Rules.

The Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Dodd-Frank
Act") required the CFTC and the SEC to adopt their own margin rules to apply to
a limited number of registered swap dealers, security-based swap dealers, major
swap participants, and major security-based swap participants that are not
subject to the jurisdiction of one of the Agencies. On December 16, 2015 the
CFTC finalized its margin rules, which are substantially the same as the Final
Margin Rules and have the same implementation timeline. The SEC adopted margin
rules for security-based swap dealers and major security-based swap participants
on June 21, 2019. The SEC's margin rules are generally aligned with the Final
Margin Rules and the CFTC's margin rules, but they differ in a few key respects
relating to timing for compliance and the manner in which initial margin must be
segregated. USO does not currently engage in security-based swap transactions
and, therefore, the SEC's margin rules are not expected to apply to USO.

Mandatory Trading and Clearing of Swaps

CFTC regulations require that certain swap transactions be executed on organized
exchanges or "swap execution facilities" and cleared through regulated clearing
organizations ("derivative clearing organizations" ("DCOs")), if the CFTC
mandates the central clearing of a particular class of swap and such swap is
"made available to trade" on a swap execution facility. Currently, swap dealers,
major swap participants, commodity pools, certain private funds and entities
predominantly engaged in activities that are financial in nature are required to
execute on a swap execution facility, and clear, certain interest rate swaps and
index-based credit default swaps. As a result, if USO enters into an interest
rate or index-based credit default swap that is subject to these requirements,
such swap will be required to be executed on a swap execution facility and
centrally cleared. Mandatory clearing and "made available to trade"
determinations with respect to additional types of swaps may be issued in the
future, and, when finalized, could require USO to electronically execute and
centrally clear certain OTC instruments presently entered into and settled on a
bi-lateral basis. If a swap is required to be cleared, initial

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and variation margin requirements are set by the relevant clearing organization,
subject to certain regulatory requirements and guidelines. Additional margin may
be required and held by USO's FCM.

Other Requirements for Swaps

In addition to the margin requirements described above, swaps that are not
required to be cleared and executed on a SEF but that are executed bilaterally
are also subject to various requirements pursuant to CFTC regulations,
including, among other things, reporting and recordkeeping requirements and,
depending on the status of the counterparties, trading documentation
requirements and dispute resolution requirements.

Derivatives Regulations in Non-U.S. Jurisdictions

In addition to U.S. laws and regulations, USO may be subject to non-U.S.
derivatives laws and regulations if it engages in futures and/or swap
transactions with non-U.S. persons. For example, USO may be impacted by European
laws and regulations to the extent that it engages in futures transactions on
European exchanges or derivatives transactions with European entities. Other
jurisdictions impose requirements applicable to futures and derivatives that are
similar to those imposed by the U.S., including position limits, margin,
clearing and trade execution requirements.

The CFTC is generally prohibited by statute from regulating trading on non-U.S.
futures exchanges and markets. The CFTC, however, has adopted regulations
relating to the marketing of non-U.S. futures contracts in the United States.
These regulations permit certain contracts on non-U.S. exchanges to be offered
and sold in the United States.

Money Market Funds

The SEC adopted amendments to Rule 2a-7 under the Investment Company Act of
1940, as amended ("1940 Act") which became effective in 2016, to reform money
market funds ("MMFs"). While the rule applies only to MMFs, it may indirectly
affect institutional investors such as USO. A portion of USO's assets that are
not used for margin or collateral in the Futures Contracts currently are
invested in government MMFs. USO does not hold any non-government MMFs and does
not anticipate investing in any non-government MMFs. However, if USO invests in
other types of MMFs besides government MMFs in the future, USO could be
negatively impacted by investing in an MMF that does not maintain a stable $1.00
NAV or that has the potential to impose redemption fees and gates (temporary
suspension of redemptions).

Although such government MMFs seek to preserve the value of an investment at
$1.00 per share, there is no guarantee that they will be able to do so and USO
may lose money by investing in a government MMF. An investment in a government
MMF is not insured or guaranteed by the Federal Deposit Insurance Corporation
(the "FDIC") or any other government agency. The share price of a government MMF
can fall below the $1.00 share price. USO cannot rely on or expect a government
MMF's adviser or its affiliates to enter into support agreements or take other
actions to maintain the government MMF's $1.00 share price. The credit quality
of a government MMF's holdings can change rapidly in certain markets, and the
default of a single holding could have an adverse impact on the government MMF's
share price. Due to fluctuations in interest rates, the market value of
securities held by a government MMF may vary. A government MMF's share price can
also be negatively affected during periods of high redemption pressures and/or
illiquid markets.

Price Movements

Crude oil futures prices were volatile during the year ended December 31, 2021.
The price of the Benchmark Oil Futures Contract started the year at $48.52 per
barrel. The high of the year was on October 26, 2021 when the price reached
$84.65 per barrel. The low for the year was on January 4, 2021, which was $47.62
per barrel. The year ended with the Benchmark Oil Futures Contract at $75.21 per
barrel, an increase of approximately 55.01% over the year. USO's per share NAV
began the year at $33.07 and ended the year at $54.18 on December 31, 2021, an
increase of approximately 63.83% over the year. The Benchmark Oil Futures
Contract prices listed above began with the February 2021 contracts and ended
with the February 2022 contracts. The increase of approximately 55.01% on the
Benchmark Oil Futures Contract listed above is a hypothetical return only and
could not actually be achieved by an investor holding Oil Futures Contracts. An
investment in Oil Futures Contracts would need to be rolled forward during the
time period described in order to simulate such a result. Furthermore, the
change in the nominal price of these differing Oil Futures Contracts, measured
from the start of the year to the end of the year, does not represent the actual
benchmark results that USO seeks to track, which are more fully described below
in the section titled "Tracking USO's Benchmark."

During the year ended December 31, 2021, the crude oil futures market alternated
between conditions of contango and backwardation. On days when the market was in
contango the price of the near month crude Oil Futures Contract was lower than
the price of the next

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month crude Oil Futures Contract, or contracts further away from expiration. On
days when the market was in backwardation, the price of the near month crude Oil
Futures Contract was higher than the price of the next month crude Oil Futures
Contract or contracts further away from expiration. For a discussion of the
impact of backwardation and contango on total returns, see "Term Structure of
Crude Oil Prices and the Impact on Total Returns" below.

Valuation of Oil Futures Contracts and the Computation of the Per Share NAV

The per share NAV of USO's shares is calculated once each NYSE Arca trading day.
The per share NAV for a particular trading day is released after 4:00 p.m. New
York time. Trading during the core trading session on the NYSE Arca typically
closes at 4:00 p.m. New York time. USO's Administrator uses the settlement price
determined by NYMEX at 2:30 p.m. Eastern time for the Oil Futures Contracts held
on the NYMEX and the settlement price determined by ICE Futures at 2:30 p.m.
Eastern time for the Oil Futures Contracts held on ICE Futures, but calculates
or determines the value of all other USO investments, other futures contracts,
as of the earlier of the close of the NYSE Arca or 4:00 p.m. New York time.

Results of Operations and the Crude Oil Market

Results of Operations. On April 10, 2006, USO listed its shares on the AMEX
under the ticker symbol "USO." On that day, USO established its initial offering
price at $67.39 per share and issued 200,000 shares to the initial Authorized
Participant, KV Execution Services, LLC, in exchange for $13,479,000 in cash. As
a result of the acquisition of the AMEX by NYSE Euronext, USO's shares ceased
trading on the AMEX and commenced trading on the NYSE Arca on November 25, 2008.

As of December 31, 2021, USO had issued 4,670,200,000 shares, 43,823,603 of
which were outstanding. As of December 31, 2021, there were 956,800,000 shares
registered but not yet issued. USO has registered 5,627,000,000 shares since
inception. On April 28, 2020, after the close of trading on the NYSE Arca, USO
effected a 1-for-8 reverse share split and post-split shares of USO began
trading on April 29, 2020. As a result of the reverse share split, every eight
pre-split shares of USO were automatically exchanged for one post-split share.
Immediately prior to the reverse split, there were 1,482,900,000 shares of USO
issued and outstanding, representing a per share NAV of $2.04. Immediately after
the effect of the reverse share split, the number of issued and outstanding
shares of USO decreased to 185,362,500, not accounting for fractional shares,
and the per share NAV increased to $16.35. In connection with the reverse share
split, the CUSIP number for USO's shares changed to 91232N207. USO's ticker
symbol, "USO," remained the same. The accompanying unaudited financial
statements have been adjusted to reflect the effect of the reverse share split
on a retroactive basis.

More shares may have been issued by USO than are outstanding due to the
redemption of shares. Unlike funds that are registered under the 1940 Act,
shares that have been redeemed by USO cannot be resold by USO. As a result, USO
contemplates that additional offerings of its shares will be registered with the
SEC in the future in anticipation of additional issuances and redemptions.

As of December 31, 2021, USO had the following Authorized Participants: ABN
Amro, BNP Paribas Securities Corp., Citadel Securities LLC, Citigroup Global
Markets Inc., Credit Suisse Securities USA LLC, Goldman Sachs & Company, JP
Morgan Securities LLC, Merrill Lynch Professional Clearing Corp., Morgan Stanley
& Company Inc., RBC Capital Markets LLC, SG Americas Securities LLC, UBS
Securities LLC and Virtu Financial BD LLC.

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For the Year Ended December 31, 2021 Compared to the Year Ended December 31,
2020

                                                              Year ended             Year ended
                                                           December 31, 2021      December 31, 2020
Per share net asset value, end of year                    $             54.18    $             33.07
Average daily total net assets                            $     

2,974,068,031 $ 3,419,675,764 Dividend and interest income earned on Treasuries, cash and/or cash equivalents

                              $         1,301,816    $        10,478,152
Annualized yield based on average daily total net
assets                                                                   0.04 %                 0.31 %
Management fee                                            $        

13,383,302 $ 15,388,313 Total fees and other expenses excluding management fees

                                                      $        

10,570,119 $ 12,908,095 Fees and expenses related the registration or offering of additional shares

                                      $         1,260,041    $         3,203,939
Total commissions accrued to brokers                      $         

1,123,971 $ 6,104,865 Total commissions as annualized percentage of average total net assets

                                                         0.04 %                 0.18 %
Commissions accrued as a result of rebalancing            $           858,171    $         5,072,915
Percentage of commissions accrued as a result of
rebalancing                                                             76.35 %                83.10 %
Commissions accrued as a result of creation and
redemption activity                                       $           265,800    $         1,031,950
Percentage of commissions accrued as a result of
creation and redemption activity                                        23.65 %                16.90 %


Portfolio Expenses. USO's expenses consist of investment management fees,
brokerage fees and commissions, certain offering costs, licensing fees,
registration fees, the fees and expenses of the independent directors of USCF
and expenses relating to tax accounting and reporting requirements. The
management fee that USO pays to USCF is calculated as a percentage of the total
net assets of USO. The fee is accrued daily and paid monthly.

The increase in the per share NAV for the year ended December 31, 2021, compared
to the year ended December 31, 2020, was due primarily to higher prices for WTI
crude oil and the related increase in the value of the Oil Futures Contracts in
which USO held and traded.

Average interest rates earned on short-term investments held by USO, including
cash, cash equivalents and Treasuries, were lower during the year ended December
31, 2021, compared to the year ended December 31, 2020. As a result, the amount
of income earned by USO as a percentage of average daily total net assets was
lower during the year ended December 31, 2021, compared to the year ended
December 31, 2020. To the degree that the aggregate yield is lower, the net
expense ratio, inclusive of income, will be higher.

The increase in total fees and other expenses excluding management fees for the
year ended December 31, 2021, compared to the year ended December 31, 2020 was
due primarily to an increase in tax reporting and professional fees.

The decrease in total commissions accrued to brokers for the year ended December
31, 2021, compared to the year ended December 31, 2020, was due primarily to a
lower number of Oil Futures Contracts being held and traded.

Tracking USO's Benchmark

USCF seeks to manage USO's portfolio such that changes in its average daily per
share NAV, on a percentage basis, closely track the daily changes in the average
price of the Benchmark Oil Futures Contract, also on a percentage basis.
Specifically, USCF seeks to manage the portfolio such that over any rolling
period of 30-valuation days, the average daily change in USO's per share NAV is
within a range of 90% to 110% (0.9 to 1.1) of the average daily change in the
price of the Benchmark Oil Futures Contract. As an example, if the average daily
movement of the price of the Benchmark Oil Futures Contract for a particular
30-valuation day time period was 0.50% per day, USCF would attempt to manage the
portfolio such that the average daily movement of the per share NAV during that
same time period fell between 0.45% and 0.55% (i.e., between 0.9 and 1.1 of the
benchmark's results). USO's portfolio management goals do not include trying to
make the nominal price of USO's per share NAV equal to the nominal price of the
current Benchmark Oil Futures Contract or the spot price for light, sweet crude
oil. USCF believes that it is not practical to manage the portfolio to achieve
such an investment goal when investing in Oil Futures Contracts and Other
Oil-Related Investments.

For the 30-valuation days ended December 31, 2021, the average daily change in
the Benchmark Oil Futures Contract was (0.037)%, while the average daily change
in the per share NAV of USO over the same time period was 0.012 %. The average
daily difference was 0.049% (or 4.9 basis points, where 1 basis point equals
1/100 of 1%), meaning that over this time period USO's NAV performed within the
plus or minus 10% range established as its benchmark tracking goal.

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Since the commencement of the offering of USO's shares to the public on April
10, 2006 to December 31, 2021, the average daily change in the Benchmark Oil
Futures Contract was (0.007)%, while the average daily change in the per share
NAV of USO over the same time period was (0.025)%. The average daily difference
was (0.018)% (or (1.8)% basis points, where 1 basis point equals 1/100 of 1%),
meaning that over this time period USO's NAV performed within the plus or minus
10% range established as its benchmark tracking goal.

The following two graphs demonstrate the correlation between the changes in
USO's NAV and the changes in the Benchmark Oil Futures Contract. The first graph
exhibits the daily changes in the last 30 valuation days ended December 31,
2021. The second graph measures monthly changes since December 31, 2016 through
December 31, 2021.

       *PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS

                           [[Image Removed: Graphic]]

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       *PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS

                           [[Image Removed: Graphic]]

An alternative tracking measurement of the return performance of USO versus the
return of its Benchmark Oil Futures Contract can be calculated by comparing the
actual return of USO, measured by changes in its per share NAV, versus the
expected changes in its per share NAV under the assumption that USO's returns
had been exactly the same as the daily changes in its Benchmark Oil Futures
Contract.

For the year ended December 31, 2021, the actual total return of USO as measured
by changes in its per share NAV was 63.83%. This is based on an initial per
share NAV of $33.07 as of December 31, 2020 and an ending per share NAV as of
December 31, 2021 of $54.18. During this time period, USO made no distributions
to its shareholders. However, if USO's daily changes in its per share NAV had
instead exactly tracked the changes in the daily total return of the Benchmark
Oil Futures Contract, USO would have had an estimated per share NAV of $53.75 as
of December 31, 2021, for a total return over the relevant time period of
62.53%. The difference between the actual per share NAV total return of USO of
63.83% and the expected total return based on the Benchmark Oil Futures Contract
of 62.53% was a difference over the time period of 1.30%, which is to say that
USO's actual total return outperformed its benchmark by that percentage. USO
incurs expenses primarily composed of the management fee, brokerage commissions
for the buying and selling of futures contracts, and other expenses. The impact
of these expenses, offset by interest and dividend income, and net of positive
or negative execution, tended to cause daily changes in the per share NAV of USO
to track slightly lower than daily changes in the price of the Benchmark Oil
Futures Contract.

By comparison, for the year ended December 31, 2020, the actual total return of
USO as measured by changes in its per share NAV was (67.66)%. This was based on
an initial per share NAV of 102.27* as of December 31, 2019 and an ending per
share NAV as of December 31, 2020 of $33.07. During this time period, USO made
no distributions to its shareholders. However, if USO's daily changes in its per
share NAV had instead exactly tracked the changes in the daily total return of
the Benchmark Oil Futures Contract, USO would have had an estimated per share
NAV of $58.31 as of December 31, 2020, for a total return over the relevant time
period of (42.98)%. The difference between the actual per share NAV total return
of USO of (67.66)% and the expected total return based on the Benchmark Oil
Futures Contract of (42.98)% was a difference over the time period of (24.68)%,
which is to say that USO's actual total return underperformed its benchmark by
that percentage. USO incurred expenses primarily composed of the management fee,
brokerage commissions for the buying and selling of futures contracts, and other
expenses. The impact of these expenses, offset by interest and dividend income,
and net of positive or negative execution, tended to cause daily changes in the
per share NAV of USO to track slightly lower than daily changes in the price of
the Benchmark Oil Futures Contract.

* Adjusted to give effect to the reverse share split of 1-for-8 effected on April 28, 2020.

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As a result of market conditions and the regulatory response that occurred in
March 2020 and thereafter, large numbers of USO shares that were purchased
during a short period of time, and regulatory accountability levels and position
limits on oil futures contracts that were imposed on USO, and risk mitigation
measures imposed by its FCMs, USO invested in Oil Futures Contracts in months
other than the Benchmark Oil Futures Contracts.

While it is USO's expectation that at some point in the future it will return to
primarily investing in the Benchmark Oil Futures Contract and related ICE
Futures contracts or other similar futures contracts of the same tenor based on
light, sweet crude oil, there can be no guarantee of when, if ever, that will
occur.  As a result, investors in USO should expect that there will be continued
wider deviations between the performance of USO's investments and the Benchmark
Oil Futures Contract than prior to the Spring of 2020, and changes in USO's
share price may not be able to track changes in the price of Benchmark Oil
Futures Contract within as narrow a percentage change difference for any period
of successive valuation days as it typically has prior to the Spring of 2020.
That said, in the third quarter of 2021 the average daily difference between the
return of USO's NAV and the Benchmark Oil Futures Contract was 0.023% (or 2.3
basis points).

There are three factors that typically have impacted or are most likely to impact USO's ability to accurately track Benchmark Oil Futures Contract in addition to the foregoing.

First, USO may buy or sell its holdings in the then current Benchmark Oil
Futures Contract at a price other than the settlement price of that contract on
the day during which USO executes the trade. In that case, USO may pay a price
that is higher, or lower, than the closing settlement price of the Benchmark Oil
Futures Contract, which could cause the changes in the daily per share NAV of
USO to either be too high or too low relative to the daily changes in the
Benchmark Oil Futures Contract. During the year ended December 31, 2021, USCF
attempted to minimize the effect of these transactions by seeking to execute its
purchase or sale of Oil Futures Contracts at, or as close as possible to, the
end of the day settlement price. However, it may not always be possible for USO
to obtain the settlement price and there is no assurance that failure to obtain
the closing settlement price in the future will not adversely impact USO's
attempt to track the Benchmark Oil Futures Contract.

Second, USO incurs expenses primarily composed of the management fee, brokerage
commissions for the buying and selling of futures contracts, and other expenses.
The impact of these expenses tends to cause daily changes in the per share NAV
of USO to track slightly lower than daily changes in the price of the Benchmark
Oil Futures Contract. At the same time, USO earns dividend and interest income
on its cash, cash equivalents and Treasuries. USO is not required to distribute
any portion of its income to its shareholders and did not make any distributions
to shareholders during the year ended December 31, 2021. Interest payments, and
any other income, were retained within the portfolio and added to USO's NAV.
When this income exceeds the level of USO's expenses for its management fee,
brokerage commissions and other expenses (including ongoing registration fees,
licensing fees and the fees and expenses of the independent directors of USCF),
USO will realize a net yield that will tend to cause daily changes in the per
share NAV of USO to track slightly higher than daily changes in the Benchmark
Oil Futures Contract. If short-term interest rates rise above these levels, the
level of deviation created by the yield would increase. Conversely, if
short-term interest rates were to decline, the amount of error created by the
yield would decrease. When short-term yields drop to a level lower than the
combined expenses of the management fee and the brokerage commissions, then the
tracking error becomes a negative number and would tend to cause the daily
returns of the per share NAV to underperform the daily returns of the Benchmark
Oil Futures Contract. USCF anticipates that interest rates may begin to rise
over the near future. It is anticipated that fees and expenses paid by USO may
continue to be higher than interest earned by USO. As such, USCF anticipates
that USO could possibly underperform its benchmark so long as interest earned is
less than the fees and expenses paid by USO.

Third, USO may hold Other Oil-Related Investments in its portfolio that may fail
to closely track the Benchmark Oil Futures Contract's total return movements. In
that case, the error in tracking the Benchmark Oil Futures Contract could result
in daily changes in the per share NAV of USO that are either too high, or too
low, relative to the daily changes in the Benchmark Oil Futures Contract. During
the year ended December 31, 2021, USO did not hold any Other Oil-Related
Investments. If USO increases in size, and due to its obligations to comply with
market conditions, regulatory limits, and risk mitigation measures imposed by
its FCMs, USO may invest in Other Oil-Related Investments, such as OTC swaps,
which may have the effect of increasing transaction related expenses and may
result in increased tracking error. OTC swaps increase transaction-related
expenses due to the fact that USO must pay to the swap counterparty certain fees
that USO does not have to pay for transactions executed on an exchange.

Term Structure of Crude Oil Futures Prices and the Impact on Total Returns.
Several factors determine the total return from investing in futures contracts.
One factor arises from "rolling" futures contracts that will expire at the end
of the current month (the "near" or "front" month contract) forward each month
prior to expiration. For a strategy that entails holding the near month
contract, the price relationship between that futures contract and the next
month futures contract will impact returns. For example, if the price of the
near month futures contract is higher than the next futures month contract (a
situation referred to as "backwardation"), then absent any other change, the
price of a next month futures contract tends to rise in value as it becomes the
near month futures contract and approaches

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expiration. Conversely, if the price of a near month futures contract is lower
than the next month futures contract (a situation referred to as "contango"),
then absent any other change, the price of a next month futures contract tends
to decline in value as it becomes the near month futures contract and approaches
expiration.

As an example, assume that the price of crude oil for immediate delivery, is $50
per barrel, and the value of a position in the near month futures contract is
also $50. Over time, the price of crude oil will fluctuate based on a number of
market factors, including demand for oil relative to supply. The value of the
near month futures contract will likewise fluctuate in reaction to a number of
market factors. If an investor seeks to maintain a position in a near month
futures contract and not take delivery of physical barrels of crude oil, the
investor must sell the current near month futures contract as it approaches
expiration and invest in the next month futures contract. In order to continue
holding a position in the current near month futures contract, this "roll"
forward of the futures contract must be executed every month.

Contango and backwardation are natural market forces that have impacted the
total return on an investment in USO's shares during the past year relative to a
hypothetical direct investment in crude oil. In the future, it is likely that
the relationship between the market price of USO's shares and changes in the
spot prices of light, sweet crude oil will continue to be impacted by contango
and backwardation. It is important to note that this comparison ignores the
potential costs associated with physically owning and storing crude oil, which
could be substantial.

If the futures market is in backwardation, e.g., when the price of the near
month futures contract is higher than the price of the next month futures
contract, the investor would buy a next month futures contract for a lower price
than the current near month futures contract. Assuming the price of the next
month futures contract was $49 per barrel, or 2% cheaper than the $50 near month
futures contract, then, hypothetically, and assuming no other changes (e.g., to
either prevailing crude oil prices or the price relationship between the spot
price, the near month contract and the next month contract, and, ignoring the
impact of commission costs and the income earned on cash and/or cash
equivalents), the value of the $49 next month futures contract would rise to $50
as it approaches expiration. In this example, the value of an investment in the
next month futures contract would tend to outperform the spot price of crude
oil. As a result, it would be possible for the new near month futures contract
to rise 12% while the spot price of crude oil may have risen a lower amount,
e.g., only 10%. Similarly, the spot price of crude oil could have fallen 10%
while the value of an investment in the futures contract might have fallen
another amount, e.g., only 8%. Over time, if backwardation remained constant,
this difference between the spot price and the futures contract price would
continue to increase.

If the futures market is in contango, an investor would be buying a next month
futures contract for a higher price than the current near month futures
contract. Again, assuming the near month futures contract is $50 per barrel, the
price of the next month futures contract might be $51 per barrel, or 2% more
expensive than the front month futures contract. Hypothetically, and assuming no
other changes, the value of the $51 next month futures contract would fall to
$50 as it approaches expiration. In this example, the value of an investment in
the second month would tend to underperform the spot price of crude oil. As a
result, it would be possible for the new near month futures contract to rise
only 10% while the spot price of crude oil may have risen a higher amount, e.g.,
12%. Similarly, the spot price of crude oil could have fallen 10% while the
value of an investment in the second month futures contract might have fallen
another amount, e.g., 12%. Over time, if contango remained constant, this
difference between the spot price and the futures contract price would continue
to increase.

The chart below compares the daily price of the near month crude oil futures
contract to the price of 13th month crude oil futures contract (i.e., a contract
one year forward) over the last 10 years. When the price of the near month
futures contract is higher than the price of the 13th month futures contract,
the market would be described as being in backwardation. When the price of the
near month futures contract is lower than the 13th month futures contract, the
market would be described as being in contango. Although the price of the near
month futures contract and the price of the 13th month futures contract tend to
move together, it can be seen that at times the near month futures contract
prices are higher than the 13th month futures contract prices (backwardation)
and, at other times, the near month futures contract prices are lower than the
13th month futures contract prices (contango).

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       *PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS

                           [[Image Removed: Graphic]]

An alternative way to view the same data is to subtract the dollar price of the
13th month crude oil futures contract from the dollar price of the
near month crude oil futures contract, as shown in the chart below. When the
difference is positive, the market is in backwardation. When the difference is
negative, the market is in contango. The crude oil market spent time in both
backwardation and contango during the last ten years.

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       *PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS

                           [[Image Removed: Graphic]]

An investment in a portfolio that owned only the near month crude oil futures
contract would likely produce a different result than an investment in a
portfolio that owned an equal number of each of the near 12 months' of crude oil
futures contracts. Generally speaking, when the crude oil futures market is in
backwardation, a portfolio of only the near month crude oil futures contract may
tend to have a higher total return than a portfolio of 12 months' of the crude
oil futures contract. Conversely, if the crude oil futures market was in
contango, the portfolio containing only 12 months' of crude oil futures
contracts may tend to outperform the portfolio holding only the   near month
crude oil futures contract.

Historically, the crude oil futures markets have experienced periods of contango
and backwardation, with backwardation being in place somewhat less often than
contango since oil futures trading started in 1983. Following the global
financial crisis in the fourth quarter of 2008, the crude oil market moved into
contango and remained in contango for a period of several years. During parts of
2009, the level of contango was unusually steep as a combination of slack U.S.
and global demand for crude oil and issues involving the physical transportation
and storage of crude oil at Cushing, Oklahoma, the primary pricing point for oil
traded in the U.S., led to unusually high inventories of crude oil. A
combination of improved transportation and storage capacity, along with growing
demand for crude oil

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globally, moderated the inventory build-up and led to reduced levels of contango
by 2011. However, at the end of November 2014, global crude oil inventories grew
rapidly after OPEC voted to defend its market share against U.S. shale-oil
producers, resulting in another period during which the crude oil market
remained primarily in contango. This period of contango continued through
December 31, 2017. Declining global crude oil inventories caused the market to
flip into backwardation at the beginning of 2018 through late October 2018, at
which point ongoing supply growth in the U.S., combined with increased OPEC
production, once again led market participants to fear another global glut of
crude oil. The crude oil market was primarily in contango the first half of 2019
and in backwardation during the second half of 2019. Crude oil flipped back into
contango in January 2020 and remained predominantly in contango throughout 2020.

In March 2020, contango dramatically increased and reached historic levels
during the economic crisis arising from the COVID-19 pandemic, related supply
chain disruptions and ongoing disputes among oil producing countries. This level
of contango was due to significant market volatility that occurred in crude oil
markets as well as oil futures markets.  Crude oil prices collapsed in the wake
of the COVID-19 demand shock, which reduced global petroleum consumption, and
the price war launched by Saudi Arabia at the beginning of March 2020 in
response to Russia's unwillingness to participate in extending previously agreed
upon supply cuts. An estimated twenty million barrels a day of crude demand
evaporated as a result of quarantines and massive drops in industrial and
manufacturing activity. Eventually, the United States, OPEC, Russia, and other
oil producers around the world agreed to a historic 9.7 million barrel per day
cut to crude supply. The supply cut along with the partial reopening of
economies during the third quarter of 2020 reduced some of the unprecedented
volatility oil markets experienced in the spring of 2020. Likewise, contango
returned to moderate levels in May 2020. During the twelve months ended
December 31, 2021, the crude oil futures market was primarily in a state of
backwardation as measured by the difference between the front month and the
second month contract.

As a result of market and regulatory conditions, including significant market
volatility, large numbers of USO shares purchased during a short period of time,
applicable regulatory accountability levels and position limits on oil futures
contracts, and FCM risk mitigation measures that were imposed on USO, in 2020,
USO invested in Oil Futures Contracts in months other than the Benchmark Oil
Futures Contracts and was limited in its investments in the Benchmark Oil
Futures Contract.  In order to continue to meet its investment objective, USO
has chosen from its permitted investments types and amounts of Oil Futures
Contracts allowed by its current regulatory requirements and under the risk
mitigation efforts of its FCMs and other market participants, including those
Oil Futures Contracts with expiration dates for months later than that of the
Benchmark Oil Futures Contract. Continued holdings in these later month
contracts may allow USO to experience lesser effects from contango than would be
the case if USO's holdings were primarily in Oil Futures Contracts in the first
month or second month. Likewise, continued holdings in these later month
contracts also could cause USO to experience lesser effects from backwardation
than would be the case if USO's holdings were primarily in Oil Futures Contracts
in the first month or second month. While USO continues to invest in later month
contracts, there is no assurance that this will continue and if USO returns to
primarily investing in the Benchmark Oil Futures Contract it will be subject to
greater effects of contango and backwardation.

Crude Oil Market. During the year ended December 31, 2021, the price of the front month WTI crude oil futures contract traded in a range between $47.62 to $84.65. Prices increased 55.01% from December 31, 2020 through December 31, 2021, finishing the year at $75.21.

The simultaneous demand and supply shocks from the COVID-19 pandemic and
Saudi-Russia price war precipitated unparalleled risk and volatility in crude
oil markets during the first half of 2020. Global demand for crude oil plummeted
by as much as 30% in the spring of 2020 as workers around the world stopped
driving, airlines cut flight schedules, and companies suspended operations.
Meanwhile, U.S. crude oil supply reached 13 million barrels per day (mbd),
capping a period of almost continuous growth since 2016. To offset the seemingly
unstoppable U.S. production juggernaut, OPEC+ (a loose coalition between OPEC
and non-member nations such as Russia and Mexico) had maintained an uneasy
series of agreements to curtail their crude oil output in order to support crude
oil prices. However, in early March of 2020, Russia refused Saudi Arabia's
proposal to extend cuts in response to the COVID-19 demand shock. The kingdom
retaliated with a massive production increase, launching an all-out price war in
the middle of a pandemic. Although the members of OPEC+ reached a
record-shattering agreement in mid-April of 2020, the implementation of new
supply cuts came too late to prevent crude oil prices from plummeting to
historic lows, culminating in a drop into negative territory for the May WTI
crude oil futures contract on April 20, 2020.

During the second quarter of 2020, the International Energy Agency (IEA)
reported that crude oil demand fell an average of 16.4 mbd while global crude
oil supply declined by an average of 13.7 mbd. Demand evaporated as a result of
quarantines and massive drops in industrial and manufacturing activity. Supply
declined largely due to the historic agreement in April of 2020 between the
United States, OPEC, Russia, and other oil producers. The bulk of the supply
decline came from voluntary OPEC+ cuts while 2.8 mbd resulted from market driven
cuts in the United States. As of June 30, 2020, U.S. production had dropped over
15%, rapidly falling back to 11 mbd. Oil producing rigs in the United States
fell to 180 from over 670 at the start of the year, a massive decline that

will
likely see U.S. supply

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fall further. Finally, in late June of 2020 storage in the U.S. spiked to 541 million barrels while global storage reached 3.351 billion barrels.

The unprecedented twin crises described above caused unparalleled effects on oil futures markets during 2020.

First, front month WTI Oil Futures Contract prices dipped below $20 for the
first time since 2002 and hit an all-time closing low of $(37.63). Multiple
record-breaking returns occurred between March and May of 2020. The price of the
front month WTI Oil Futures Contract averaged $28 during the second quarter of
2020 compared to $46 during the first quarter of 2020 and $57 during calendar
year 2019.

Second, crude oil price volatility went off-the-charts. For example, the 30-day
annualized volatility of front month WTI crude oil futures prices reached 984%
in May 2020 after averaging 35% in 2019 and 25% in the first two months of 2020.
(If May crude oil futures had not gone negative on April 20, 2020, volatility
would "only" have reached 416%.)

Third, futures curves, which can exhibit conditions known as "contango" and
"backwardation" as discussed above, moved into a condition that some market
experts referred to as "super contango." This was a result of extreme
bearishness at the front of the futures curve due to rapidly filling storage
facilities in the U.S. and around the world. Specifically, the price of the
front month WTI Oil Futures Contract detached from the rest of the futures curve
and fell to an extreme position relative to futures contracts with expiration
dates in later months. On a percentage basis, the difference in price between
the front month WTI Oil Futures Contract and the second month WTI Oil Futures
Contract was more than double the previous record. This divergence caused the
price of WTI Oil Futures Contracts with different expiration dates to move in
different directions. For example, the price of the front month WTI Oil Futures
Contract and second month WTI Oil Futures Contract typically move together
(i.e., increase or decrease) about 99% of the time. However, in late April of
2020, the correlation of the price of the front and second month WTI Oil Futures
Contracts was (24)%, meaning that these contracts were moving in opposite
directions.

Fourth, USO, among other market participants, diversified its portfolio away
from the front of the futures curve in favor of deferred contract months, as
discussed in this Form 10-Q. The move by USO and other market participants to
deferred contract months caused a historic change during 2020 to relative levels
of open interest among the different futures contracts. For example, open
interest in the front month futures contract fell an average of 40% during
April, May, and June of 2020 compared to the average level of open interest
during those same calendar months during the previous five years.

As economies reopened and OPEC+ supply cuts were absorbed by the market, WTI
crude oil prices rose from all-time lows in the spring of 2020 to an average of
$68.00 per barrel during calendar year 2021.

WTI crude oil inventories in the United States fell from a modern record of 541
mb in June 2020 to 418 mb by the end of the fourth quarter of 2021. Crude oil
production in the United States fell below 10 mbd twice in 2020 and once in
early 2021 after peaking at 13.1 mbd in March of 2020. U.S. Production rose to
11.8 mbd by December 31, 2021.  Similarly, OPEC production declined from over 30
mbd pre-COVID-19 to a pandemic low of 22.5 mbd before gradually recovering to
28.1 mbd by December 31, 2021. It is uncertain how quickly OPEC, Russia, or the
U.S. can or will return to pre-pandemic 2019 production levels. Meanwhile, U.S.
vehicle miles traveled and jet fuel use have nearly recovered to pre-pandemic
levels.  The ongoing demand recovery for crude oil has resulted in higher
prices.  Supply constraints, worker shortages, infrastructure and manufacturing
energy usage, and geopolitical tensions, all suggest potential further upside
for crude oil.  However, elevated risk remains in the oil markets until the full
impact of past, current, and future COVID-19 pandemic mitigation measures is
known.

Crude Oil Price Movements in Comparison to Other Energy Commodities and
Investment Categories. USCF believes that investors frequently measure the
degree to which prices or total returns of one investment or asset class move up
or down in value in concert with another investment or asset class.
Statistically, such a measure is usually done by measuring the correlation of
the price movements of the two different investments or asset classes over some
period of time. The correlation is scaled between 1 and -1, where 1 indicates
that the two investment options move up or down in price or value together,
known as "positive correlation," and -1 indicates that they move in completely
opposite directions, known as "negative correlation." A correlation of 0 would
mean that the movements of the two are neither positively nor negatively
correlated, known as "non-correlation." That is, the investment options
sometimes move up and down together and other times move in opposite directions.

For the ten-year time period between December 31, 2011 and December 31, 2021,
the table below compares the monthly movements of crude oil prices versus the
monthly movements of the prices of several other energy commodities, such as
natural gas, diesel-heating oil, and unleaded gasoline, as well as several major
non-commodity investment asset classes, such as large cap U.S. equities, U.S.
government bonds and global equities. It can be seen that over this particular
time period, the movement of crude oil on a monthly basis

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exhibited strong correlation with unleaded gasoline and diesel-heating oil, moderate correlation with the movements of large cap U.S. equities, U.S. government bonds and global equities, and limited correlation with natural gas.

       *PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS

                          Large Cap US       US Gov't Bonds     Global Equities      Unleaded    Heating     Natural      Crude
Correlation Matrix
10 Years               Equities (S&P 500)    (BEUSG4 Index)    (FTSE World Index)    Gasoline      Oil         Gas         Oil
Large Cap US
Equities (S&P 500)                  1.000             0.895                 0.995       0.716       0.717       0.584       0.669
US Gov't Bonds
(BEUSG4 Index)                                        1.000                 0.893       0.540       0.616       0.585       0.521
Global Equities
(FTSE World Index)                                                          1.000       0.729       0.737       0.577       0.686
Unleaded Gasoline                                                                       1.000       0.807       0.403       0.837
Heating Oil                                                                                         1.000       0.419       0.867
Natural Gas                                                                                                     1.000       0.350
Crude Oil                                                                                                                   1.000


Source: Bloomberg, NYMEX

The table below covers a more recent, but much shorter, range of dates than the
above table. Over the one year period ended December 31, 2021, movements of
crude oil displayed strong correlation with unleaded gasoline, diesel- heating
oil, large cap U.S. equities, U.S. Government bonds, global equities and natural
gas.

       *PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS

                                Large Cap US       US Gov't Bonds     Global Equities      Unleaded      Heating       Natural        Crude
Correlation Matrix 1 Year    Equities (S&P 500)    (BEUSG4 Index)    (FTSE World Index)    Gasoline        Oil           Gas           Oil
Large Cap US Equities
(S&P 500)                                 1.000             0.993                 1.000        0.959         0.956         0.868         0.944
US Gov't Bonds (BEUSG4
Index)                                                      1.000                 0.994        0.945         0.953         0.891         0.937
Global Equities (FTSE
World Index)                                                                      1.000        0.963         0.962         0.873         0.949
Unleaded Gasoline                                                                              1.000         0.989         0.857         0.988
Heating Oil                                                                                                  1.000         0.896         0.995
Natural Gas                                                                                                                1.000         0.887
Crude Oil                                                                                                                                1.000


Source: Bloomberg, NYMEX

Investors are cautioned that the historical price relationships between crude
oil and various other energy commodities, as well as other investment asset
classes, as measured by correlation may not be reliable predictors of future
price movements and correlation results. The results pictured above would have
been different if a different range of dates had been selected. USCF believes
that crude oil has historically not demonstrated a strong correlation with
equities or bonds over long periods of time. However, USCF also believes that in
the future it is possible that crude oil could have long term correlation
results that indicate prices of crude oil more closely track the movements of
equities or bonds. In addition, USCF believes that, when measured over time
periods shorter than ten years, there will always be some periods where the
correlation of crude oil to equities and bonds will be either more strongly
positively correlated or more strongly negatively correlated than the long term
historical results suggest.

The correlations between crude oil, natural gas, diesel-heating oil and gasoline
are relevant because USCF endeavors to invest USO's assets in Oil Futures
Contracts and Other Oil-Related Investments so that daily changes in percentage
terms in USO's per share NAV correlate as closely as possible with daily changes
in percentage terms in the price of the Benchmark Oil Futures Contract. If
certain other fuel-based commodity futures contracts do not closely correlate
with the crude-oil futures contract, then their use could lead to greater
tracking error. As noted above, USCF also believes that the changes
in percentage terms in the price of the Benchmark Oil Futures Contract will
closely correlate with changes in percentage terms in the spot price of light,
sweet crude oil.

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For the Year Ended December 31, 2020 Compared to the Year Ended December 31, 2019

The comparison of the fiscal years ended December 31, 2020 and 2019 can be found
in USO's annual report on Form 10-K for the fiscal year ended December 31, 2020
located within Part II, Item 7. Management's Discussion and Analysis of
Financial Condition and Results of Operations, which is incorporated by
reference herein.

Critical Accounting Policies

Preparation of the financial statements and related disclosures in compliance
with accounting principles generally accepted in the United States of America
requires the application of appropriate accounting rules and guidance, as well
as the use of estimates. USO's application of these policies involves judgments
and actual results may differ from the estimates used.

USCF has evaluated the nature and types of estimates that it makes in preparing
USO's financial statements and related disclosures and has determined that the
valuation of its investments, which are not traded on a United States or
internationally recognized futures exchange (such as forward contracts and OTC
swaps) involves a critical accounting policy. The values which are used by USO
for its Oil Futures Contracts are provided by its commodity broker who uses
market prices when available, while OTC swaps are valued based on the present
value of estimated future cash flows that would be received from or paid to a
third party in settlement of these derivative contracts prior to their delivery
date and valued on a daily basis. In addition, USO estimates interest and
dividend income on a daily basis using prevailing rates earned on its cash and
cash equivalents. These estimates are adjusted to the actual amount received on
a monthly basis and the difference, if any, is not considered material.

Liquidity and Capital Resources

USO has not made, and does not anticipate making, use of borrowings or other
lines of credit to meet its obligations. USO has met, and it is anticipated that
USO will continue to meet, its liquidity needs in the normal course of business
from the proceeds of the sale of its investments, or from the Treasuries, cash
and/or cash equivalents that it intends to hold at all times. USO's liquidity
needs include: redeeming shares, providing margin deposits for its existing Oil
Futures Contracts or the purchase of additional Oil Futures Contracts and
posting collateral for its OTC swaps, if applicable, and payment of its
expenses, summarized below under "Contractual Obligations."

USO currently generates cash primarily from: (i) the sale of baskets consisting
of 100,000 shares ("Creation Baskets") and (ii) income earned on Treasuries,
cash and/or cash equivalents. USO has allocated substantially all of its net
assets to trading in Oil Interests. USO invests in Oil Interests to the fullest
extent possible without being leveraged or unable to satisfy its current or
potential margin or collateral obligations with respect to its investments in
Oil Futures Contracts and Other Oil-Related Investments. A significant portion
of USO's NAV is held in cash and cash equivalents that are used as margin and as
collateral for its trading in Oil Interests. The balance of the assets is held
in USO's account at its custodian bank and in investments in money market funds
and Treasuries at the FCMs. Income received from USO's investments in money
market funds and Treasuries is paid to USO. During the year ended December 31,
2021, USO's expenses exceeded the income USO earned and the cash earned from the
sale of Creation Baskets and the redemption of Redemption Baskets. During the
year ended December 31, 2020, USO's expenses exceeded the income USO earned and
the cash earned from the sale of Creation Baskets and the redemption of
Redemption Baskets. To the extent expenses exceed income, USO's NAV will be
negatively impacted.

USCF endeavors to have the value of USO's Treasuries, cash and cash equivalents,
whether held by USO or posted as margin or other collateral, at all times
approximate the aggregate market value of its obligations for its investments in
Oil Interests. Commodity pools' trading positions in futures contracts or other
related investments are typically required to be secured by the deposit of
margin funds that represent only a small percentage of a futures contract's (or
other commodity interest's) entire market value. While USCF has not and does not
intend to leverage USO's assets, it is not prohibited from doing so under the LP
Agreement.

USO has not and does not intend to leverage its assets and makes its investments
accordingly. Consistent with the foregoing, USO's investments will take into
account the need for USO to make permitted investments that also allow it to
maintain adequate liquidity to meet its margin and collateral requirements and
to avoid, to the extent reasonably possible, USO becoming leveraged. If market
conditions require it, these risk reduction procedures may occur on short notice
if they occur other than during a roll or rebalance period.

USO's investments in Oil Interests may be subject to periods of illiquidity
because of market conditions, regulatory considerations and other reasons. For
example, most commodity exchanges limit the fluctuations in futures contracts
prices during a single day by regulations referred to as "daily limits." During
a single day, no trades may be executed at prices beyond the daily limit. Once
the price of a futures contract has increased or decreased by an amount equal to
the daily limit, positions in the contracts can neither be taken nor liquidated
unless the traders are willing to effect trades at or within the specified daily
limit. Such market conditions could prevent USO from promptly liquidating its
positions in Futures Contracts. During the year ended December 31, 2021, USO did
not purchase or

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liquidate any of its positions while daily limits were in effect; however, USO cannot predict whether such an event may occur in the future.

Since March 23, 2007, USO has been responsible for expenses relating to: (i)
management fees, (ii) brokerage fees and commissions, (iii) licensing fees for
the use of intellectual property, (iv) ongoing registration expenses in
connection with offers and sales of its shares subsequent to the initial
offering, (v) other expenses, including tax reporting costs, (vi) fees and
expenses of the independent directors of USCF and (vii) other extraordinary
expenses not in the ordinary course of business.

USO may terminate at any time, regardless of whether USO has incurred losses,
subject to the terms of the LP Agreement. In particular, unforeseen
circumstances, including, but not limited to, (i) market conditions, regulatory
requirements, risk mitigation measures taken by USO or third parties or
otherwise that would lead USO to determine that it could no longer foreseeably
meet its investment objective or that USO's aggregate net assets in relation to
its operating expenses or its margin or collateral requirements make the
continued operation of USO unreasonable or imprudent, or (ii) adjudication of
incompetence, bankruptcy, dissolution, withdrawal or removal of USCF as the
general partner of USO could cause USO to terminate unless a majority interest
of the limited partners within 90 days of the event elects to continue the
partnership and appoints a successor general partner, or the affirmative vote of
a majority in interest of the limited partners subject to certain conditions.
However, no level of losses will require USO to terminate USO. USO's termination
would cause the liquidation and potential loss of an investor's investment.
Termination could also negatively affect the overall maturity and timing of an
investor's investment portfolio.

Market Risk

Trading in Oil Futures Contracts and Other Oil-Related Investments, such as
forwards, involves USO entering into contractual commitments to purchase or sell
oil at a specified date in the future. The aggregate market value of the
contracts will significantly exceed USO's future cash requirements since USO
intends to close out its open positions prior to settlement. As a result, USO is
generally only subject to the risk of loss arising from the change in value of
the contracts. USO considers the "fair value" of its derivative instruments to
be the unrealized gain or loss on the contracts. The market risk associated with
USO's commitments to purchase oil is limited to the aggregate market value of
the contracts held. However, should USO enter into a contractual commitment to
sell oil, it would be required to make delivery of the oil at the contract
price, repurchase the contract at prevailing prices or settle in cash. Since
there are no limits on the future price of oil, the market risk to USO could be
unlimited.

USO's exposure to market risk depends on a number of factors, including the
markets for oil, the volatility of interest rates and foreign exchange rates,
the liquidity of the Oil Futures Contracts and Other Oil-Related Investments
markets and the relationships among the contracts held by USO. Drastic market
occurrences could ultimately lead to the loss of all or substantially all of an
investor's capital.

Credit Risk

When USO enters into Oil Futures Contracts and Other Oil-Related Investments, it
is exposed to the credit risk that the counterparty will not be able to meet its
obligations. The counterparty for the Oil Futures Contracts traded on the NYMEX
and on most other futures exchanges is the clearinghouse associated with the
particular exchange. In general, in addition to margin required to be posted by
the clearinghouse in connection with cleared trades, clearinghouses are backed
by their members who may be required to share in the financial burden resulting
from the nonperformance of one of their members and, therefore, this additional
member support should significantly reduce credit risk. USO is not currently a
member of any clearinghouse. Some foreign exchanges are not backed by their
clearinghouse members but may be backed by a consortium of banks or other
financial institutions. There can be no assurance that any counterparty,
clearinghouse, or their members or their financial backers will satisfy their
obligations to USO in such circumstances.

USCF attempts to manage the credit risk of USO by following various trading
limitations and policies. In particular, USO generally posts margin and/or holds
liquid assets that are approximately equal to the market value of its
obligations to counterparties under the Oil Futures Contracts and Other
Oil-Related Investments it holds. USCF has implemented procedures that include,
but are not limited to, executing and clearing trades only with creditworthy
parties and/or requiring the posting of collateral or margin by such parties for
the benefit of USO to limit its credit exposure. An FCM, when acting on behalf
of USO in accepting orders to purchase or sell Oil Futures Contracts on United
States exchanges, is required by CFTC regulations to separately account for and
segregate as belonging to USO, all assets of USO relating to domestic Oil
Futures Contracts trading. These FCMs are not allowed to commingle USO's assets
with their other assets. In addition, the CFTC requires FCMs to hold in a secure
account USO's assets related to foreign Oil Futures Contracts and, in some
cases, to cleared swaps executed through the FCMs. Similarly, under its current
OTC agreements, USO requires that collateral it posts or receives be posted with
its custodian, and under agreements among the custodian, USO and its
counterparties, such collateral is segregated.

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USO may purchase OTC swaps, see "Item 7A. Quantitative and Qualitative Disclosures About Market Risk" in this annual report on Form 10-K for a discussion of OTC swaps.

As of December 31, 2021, USO held cash deposits and investments in Treasuries
and money market funds in the amount of $2,264,418,396 with the custodian and
FCMs. Some or all of these amounts held by a custodian or an FCM, as applicable,
may be subject to loss should USO's custodian or FCMs, as applicable, cease
operations.

Off Balance Sheet Financing

As of December 31, 2021, USO had no loan guarantee, credit support or other
off-balance sheet arrangements of any kind other than agreements entered into in
the normal course of business, which may include indemnification provisions
relating to certain risks that service providers undertake in performing
services which are in the best interests of USO. While USO's exposure under
these indemnification provisions cannot be estimated, they are not expected to
have a material impact on USO's financial position.

Redemption Basket Obligation

In order to meet its investment objective and pay its contractual obligations
described below, USO requires liquidity to redeem shares, which redemptions must
be in blocks of 100,000 shares called "Redemption Baskets." USO has to date
satisfied this obligation by paying from the cash or cash equivalents it holds
or through the sale of its Treasuries in an amount proportionate to the number
of shares being redeemed.

Contractual Obligations

USO's primary contractual obligations are with USCF. In return for its services,
USCF is entitled to a management fee calculated daily and paid monthly as a
fixed percentage of USO's NAV, currently 0.45% of NAV on its average daily total
net assets.

USCF agreed to pay the start-up costs associated with the formation of USO,
primarily its legal, accounting and other costs in connection with USCF's
registration with the CFTC as a CPO and the registration and listing of USO and
its shares with the SEC, FINRA and NYSE Arca (formerly, AMEX), respectively.
However, since USO's initial offering of shares, offering costs incurred in
connection with registering and listing additional shares of USO have been
directly borne on an ongoing basis by USO, and not by USCF.

USCF pays the fees of the Marketing Agent as well as BNY Mellon's fees for
performing administrative, custodial, and transfer agency services. BNY Mellon's
fees for performing administrative services include those in connection with the
preparation of USO's financial statements and its SEC, NFA and CFTC reports.
USCF and USO have also entered into a licensing agreement with the NYMEX
pursuant to which USO and the Related Public Funds, other than BNO, USCI and
CPER, pay a licensing fee to the NYMEX. USO also pays the fees and expenses
associated with its tax accounting and reporting requirements.

USCF paid BBH&Co.'s fees for performing administrative services, including those
in connection with the preparation of USO's financial statements and its SEC,
NFA and CFTC reports through May 31, 2020.

In addition to USCF's management fee, USO pays its brokerage fees (including
fees to FCMs), OTC dealer spreads, any licensing fees for the use of
intellectual property, and, subsequent to the initial offering, registration and
other fees paid to the SEC, FINRA, or other regulatory agencies in connection
with the offer and sale of shares, as well as legal, printing, accounting and
other expenses associated therewith, and extraordinary expenses. The latter are
expenses not incurred in the ordinary course of USO's business, including
expenses relating to the indemnification of any person against liabilities and
obligations to the extent permitted by law and under the LP Agreement, the
bringing or defending of actions in law or in equity or otherwise conducting
litigation and incurring legal expenses and the settlement of claims and
litigation. Commission payments to FCMs are on a contract-by-contract, or round
turn, basis. USO also pays a portion of the fees and expenses of the independent
directors of USCF. See Note 3 to the Notes to Financial Statements in Item 8 of
this annual report on Form 10-K.

The parties cannot anticipate the amount of payments that will be required under
these arrangements for future periods, as USO's per share NAVs and trading
levels to meet its investment objective will not be known until a future date.
These agreements are effective for a specific term agreed upon by the parties
with an option to renew, or, in some cases, are in effect for the duration of
USO's existence. Either party may terminate these agreements earlier for certain
reasons described in the agreements.

As of December 31, 2021, USO's portfolio held 32,136 Oil Futures Contracts traded on the NYMEX. As of December 31, 2021 USO did not hold any Oil Futures Contracts traded on the ICE Futures. For a list of USO's current holdings, please see USO's website at www.uscfinvestments.com.

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk.

Commodity Price Risk.

USO is exposed to commodity price risk. In particular, USO is exposed to crude
oil price risk through its holdings of Oil Futures Contracts together with any
other derivatives in which it may invest, which are discussed below. As a
result, fluctuations in the value of the Oil Futures Contracts that USO holds in
its portfolio, as described in "Contractual Obligations" under "Item 7.
Management's Discussion and Analysis of Financial Condition and Results of
Operations" above, are expected to directly affect the value of USO's shares.

OTC Contract Risk

USO may purchase OTC contracts, such as forward contracts or swap or spot contracts. Unlike most exchange-traded futures contracts or exchange-traded options on such futures, each party to an OTC swap bears the credit risk that the other party may not be able to perform its obligations under its contract.

USO may enter into certain transactions where an OTC component is exchanged for
a corresponding futures contract ("Exchange for Related Position" or "EFRP"
transactions). In the most common type of EFRP transaction entered into by USO,
the OTC component is the purchase or sale of one or more baskets of USO shares.
These EFRP transactions may expose USO to counterparty risk during the interim
period between the execution of the OTC component and the exchange for a
corresponding futures contract. Generally, the counterparty risk from the EFRP
transaction will exist only on the day of execution.

Swap transactions, like other financial transactions, involve a variety of
significant risks. The specific risks presented by a particular swap transaction
necessarily depend upon the terms and circumstances of the transaction. In
general, however, all swap transactions involve some combination of market risk,
credit risk, counterparty credit risk, funding risk, liquidity risk and
operational risk.

Highly customized swap transactions in particular may increase liquidity risk,
which may result in a suspension of redemptions. Highly leveraged transactions
may experience substantial gains or losses in value as a result of relatively
small changes in the value or level of an underlying or related market factor.

In evaluating the risks and contractual obligations associated with a particular
swap transaction, it is important to consider that a swap transaction may be
modified or terminated only by mutual consent of the original parties and
subject to agreement on individually negotiated terms. Therefore, it may not be
possible for USCF to modify, terminate or offset USO's obligations or its
exposure to the risks associated with a transaction prior to its scheduled
termination date.

To reduce the credit risk that arises in connection with such contracts, USO
will generally enter into an agreement with each counterparty based on the
Master Agreement published by the International Swaps and Derivatives
Association that provides for the netting of its overall exposure to its
counterparty, if the counterparty is unable to meet its obligations to USO due
to the occurrence of a specified event, such as the insolvency of the
counterparty.

USCF assesses or reviews, as appropriate, the creditworthiness of each potential
or existing counterparty to an OTC swap pursuant to guidelines approved by the
Board. Furthermore, USCF on behalf of USO only enters into OTC swaps with
counterparties who are, or are affiliates of, (a) banks regulated by a United
States federal bank regulator, (b) broker-dealers regulated by the SEC, (c)
insurance companies domiciled in the United States, or (d) producers, users or
traders of energy, whether or not regulated by the CFTC. Any entity acting as a
counterparty shall be regulated in either the United States or the United
Kingdom unless otherwise approved by the Board after consultation with its legal
counsel. Existing counterparties are also reviewed periodically by USCF. USO
will also require that the counterparty be highly rated and/or provide
collateral or other credit support. Even if collateral is used to reduce
counterparty credit risk, sudden changes in the value of OTC transactions may
leave a party open to financial risk due to a counterparty default since the
collateral held may not cover a party's exposure on the transaction in such
situations.

In general, valuing OTC derivatives is less certain than valuing actively traded
financial instruments such as exchange-traded futures contracts and securities
or cleared swaps because the price and terms on which such OTC derivatives are
entered into or can be terminated are individually negotiated, and those prices
and terms may not reflect the best price or terms available from other sources.
In addition, while market makers and dealers generally quote indicative prices
or terms for entering into or terminating OTC swaps, they typically are not
contractually obligated to do so, particularly if they are not a party to the
transaction. As a result, it may be difficult to obtain an independent value for
an outstanding OTC derivatives transaction.

During the reporting period of this annual report on Form 10-K, USO has limited its derivatives activities to Oil Futures Contracts and EFRP transactions.

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USO anticipates that the use of Other Oil-Related Investments together with its
investments in Oil Futures Contracts will produce price and total return results
that closely track the investment goals of USO. However, there can be no
assurance of this. OTC swaps may result in higher transaction-related expenses
than the brokerage commissions paid in connection with the purchase of Oil
Futures Contracts, which may impact USO's ability to successfully track the
Benchmark Oil Futures Contracts.

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Item 8. Financial Statements and Supplementary Data.

United States Oil Fund, LP

                         Index to Financial Statements

Documents                                                                   Page
  Management's Annual Report on Internal Control Over Financial             

78

Reporting.

Report of Independent Registered Public Accounting Firm. (PCAOB ID

79

349)

Statements of Financial Condition at December 31, 2021 and 2020.

81

  Schedules of Investments at December 31, 2021 and 2020.                   

82

Statements of Operations for the years ended December 31, 2021, 2020

84

and 2019.

  Statements of Changes in Partners' Capital for the years ended            

85

December 31, 2021, 2020 and 2019.

Statements of Cash Flows for the years ended December 31, 2021, 2020

86

and 2019.

Notes to Financial Statements for the years ended December 31, 2021,

 87
2020 and 2019.


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Management's Annual Report on Internal Control Over Financial Reporting.

USCF assessed the effectiveness of USO's internal control over financial
reporting as of December 31, 2021. In making this assessment, it used the
criteria set forth by the Committee of Sponsoring Organizations of the Treadway
Commission in Internal Control Integrated Framework (2013). Based on the
assessment, USCF believes that, as of December 31, 2021, USO's internal control
over financial reporting is effective.

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            REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Partners of

United States Oil Fund, LP

Opinions on the Financial Statements and Internal Control over Financial Reporting

We have audited the accompanying statements of financial condition of United
States Oil Fund, LP (the "Fund") as of December 31, 2021 and 2020, including the
schedule of investments as of December 31, 2021 and 2020, and the related
statements of operations, changes in partners' capital and cash flows for each
of the years in the three-year period ended December 31, 2021, and the related
notes (collectively referred to as the "financial statements"). We also have
audited the Fund's internal control over financial reporting as of December 31,
2021, based on criteria established in Internal Control - Integrated Framework
(2013) issued by the Committee of Sponsoring Organizations of the Treadway
Commission ("COSO").

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of United States Oil Fund, LP as
of December 31, 2021 and 2020, and the results of its operations and its cash
flows for each of the years in the three-year period ended December 31, 2021, in
conformity with accounting principles generally accepted in the United States of
America.  Also, in our opinion, the Fund maintained, in all material respects,
effective internal control over financial reporting as of December 31, 2021
based on criteria established in Internal Control - Integrated Framework (2013)
issued by COSO.

Basis for Opinion

The Fund's management is responsible for these financial statements, for
maintaining effective internal control over financial reporting, and for its
assessment of the effectiveness of internal control over financial reporting
included in the accompanying Management's Annual Report on Internal Control over
Financial Reporting. Our responsibility is to express an opinion on the Fund's
financial statements and an opinion on the Fund's internal control over
financial reporting based on our audits. We are a public accounting firm
registered with the Public Company Accounting Oversight Board (United States)
(PCAOB) and are required to be independent with respect to the Fund in
accordance with the U.S. federal securities laws and the applicable rules and
regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud, and whether effective internal control over financial reporting was maintained in all material respects.

Our audits of the financial statements included performing procedures to assess
the risks of material misstatement of the financial statements, whether due to
error or fraud, and performing procedures that respond to those risks. Such
procedures included examining, on a test basis, evidence regarding the amounts
and disclosures in the financial statements. Our audits also included evaluating
the accounting principles used and significant estimates made by management, as
well as evaluating the overall presentation of the financial statements. Our
audit of internal control over financial reporting included obtaining an
understanding of internal control over financial reporting, assessing the risk
that a material weakness exists, and testing and evaluating the design and
operating effectiveness of internal control based on the assessed risk. Our
audits also included performing such other procedures as we considered necessary
in the circumstances. We believe that our audits provide a reasonable basis for
our opinions.

Definition and Limitations of Internal Control over Financial Reporting

A Fund's internal control over financial reporting is a process designed to
provide reasonable assurance regarding the reliability of financial reporting
and the preparation of financial statements for external purposes in accordance
with generally accepted accounting principles. A Fund's internal control over
financial reporting includes those policies and procedures that (1) pertain to
the maintenance of records that, in reasonable detail, accurately and fairly
reflect the transactions and dispositions of the assets of the Fund; (2) provide
reasonable assurance that transactions are recorded as necessary to permit
preparation of financial statements in accordance with generally accepted
accounting principles, and that receipts and expenditures of the Fund are being
made only in accordance with authorizations of management and directors of the
Fund; and (3) provide reasonable assurance regarding prevention or timely
detection of unauthorized acquisition, use, or disposition of the Fund's assets
that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting
may not prevent or detect misstatements. Also, projections of any evaluation of
effectiveness to future periods are subject to the risk that controls may become
inadequate because of changes in conditions, or that the degree of compliance
with the policies or procedures may deteriorate.

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Critical Audit Matters

Critical audit matters are matters arising from the current period audit of the
financial statements that were communicated or required to be communicated to
the audit committee and that: (1) relate to accounts or disclosures that are
material to the financial statements and (2) involved our especially
challenging, subjective, or complex judgments. We determined that there are

no
critical audit matters.

/s/ Spicer Jeffries LLP

We have served as the Fund's auditor since 2005.

Denver, Colorado

February 25, 2022

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United States Oil Fund, LP

Statements of Financial Condition
At December 31, 2021 and December 31, 2020

                                                            December 31, 2021      December 31, 2020
Assets
Cash and cash equivalents (at cost $1,565,100,289 and
$2,585,466,700, respectively) (Notes 2 and 5)              $     1,565,100,289    $     2,585,466,700
Equity in trading accounts:
Cash and cash equivalents (at cost $699,318,107 and
$723,771,439, respectively)                                        699,318,107            723,771,439
Unrealized gain (loss) on open commodity futures
contracts                                                          114,437,224            401,443,958
Dividends receivable                                                    33,715                  3,683
Interest receivable                                                     53,541                160,957
Prepaid insurance*                                                     144,695                 38,452
Prepaid registration fees                                                    -              1,260,041
ETF transaction fees receivable                                            

 -                  2,000

Total Assets                                               $     2,379,087,571    $     3,712,147,230

Liabilities and Partners' Capital
Payable due to Broker                                      $                 -    $        23,667,355
Payable for shares redeemed                                                  -             59,405,821
General Partner management fees payable (Note 3)                       938,440              1,407,565
Professional fees payable                                            3,616,000              1,903,173
Brokerage commissions payable                                          200,588                323,858
Directors' fees payable*                                                44,337                 52,049
License fees payable                                                   128,940                169,663

Total Liabilities                                                    4,928,305             86,929,484

Commitments and Contingencies (Notes 3, 4 & 5)

Partners' Capital
General Partners                                                             -                      -
Limited Partners                                                 2,374,159,266          3,625,217,746
Total Partners' Capital

2,374,159,266 3,625,217,746

Total Liabilities and Partners' Capital                    $     

2,379,087,571 $ 3,712,147,230

Limited Partners' shares outstanding                                43,823,603            109,623,603
Net asset value per share                                  $             54.18    $             33.07
Market value per share                                     $             54.36    $             33.01

* Certain prior year amounts have been reclassified for consistency with the current presentation.

See accompanying notes to financial statements.

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United States Oil Fund, LP

Schedule of Investments

At December 31, 2021

                                                                            Fair Value/
                                                                          Unrealized Gain
                                                                          (Loss) on Open
                                           Notional        Number of         Commodity        % of Partners'
                                            Amount         Contracts         Contracts           Capital
Open Commodity Futures Contracts -
Long
United States Contracts
NYMEX WTI Crude Oil Futures February
2022 contracts, expiring January
2022                                    $   450,997,278         6,313    $      23,803,452              1.00
NYMEX WTI Crude Oil Futures March
2022 contracts, expiring February
2022                                        447,523,600         6,341           27,290,480              1.15
NYMEX WTI Crude Oil Futures April
2022 contracts, expiring March 2022         353,136,644         4,783            2,957,706              0.13
NYMEX WTI Crude Oil Futures May 2022
contracts, expiring April 2022              338,534,160         4,816           17,560,880              0.74
NYMEX WTI Crude Oil Futures June
2022 contracts, expiring May 2022           317,665,641         4,853           38,398,969              1.62
NYMEX WTI Crude Oil Futures July
2022 contracts, expiring June 2022          111,497,360         1,631            7,206,820              0.30
NYMEX WTI Crude Oil Futures December
2022 contracts, expiring November
2022                                        240,133,253         3,399          (2,781,083)            (0.12)
Total Open Futures Contracts*           $ 2,259,487,936        32,136    $ 

   114,437,224              4.82


                                                     Shares/Principal        Market         % of Partners'
                                                          Amount              Value            Capital
Cash Equivalents
United States Money Market Funds
Goldman Sachs Financial Square Government Fund -
Institutional Shares, 0.03%#                               31,002,000    $    31,002,000              1.31
Morgan Stanley Institutional Liquidity Funds -
Government Portfolio - Institutional Shares,
0.03%#                                                  1,079,000,000      1,079,000,000             45.45
RBC U.S. Government Money Market Fund -
Institutional Shares, 0.03%#                              434,532,000        434,532,000             18.30
Total United States Money Market Funds                                   $ 1,544,534,000             65.06


#  Reflects the 7-day yield at December 31, 2021.

*  Collateral amounted to $699,318,107 on open commodity futures contracts.

See accompanying notes to financial statements.

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United States Oil Fund, LP

Schedule of Investments

At December 31, 2020

                                                                                   Fair
                                                                                  Value/
                                                                              Unrealized Gain
                                                                              (Loss) on Open        % of
                                                Notional        Number of        Commodity        Partners'
                                                 Amount         Contracts        Contracts         Capital
Open Commodity Futures Contracts - Long
United States Contracts
NYMEX WTI Crude Oil Futures February 2021
contracts, expiring January 2021             $   632,796,307       14,943    $      92,238,053         2.54
NYMEX WTI Crude Oil Futures March 2021
contracts, expiring February 2021                645,421,542       14,909           79,603,128         2.19
NYMEX WTI Crude Oil Futures April 2021
contracts, expiring March 2021                   465,961,140       11,168           77,808,780         2.15
NYMEX WTI Crude Oil Futures May 2021
contracts, expiring April 2021                   504,602,270       11,168           39,167,650         1.08
NYMEX WTI Crude Oil Futures June 2021
contracts, expiring May 2021                     475,568,503       11,182           68,212,157         1.88
NYMEX WTI Crude Oil Futures July 2021
contracts, expiring June 2021                    172,979,880        3,735            8,242,320         0.23
NYMEX WTI Crude Oil Futures December 2021
contracts, expiring November 2021                326,339,170        7,603           36,171,870         1.00
Total Open Futures Contracts*                $ 3,223,668,812       74,708    $     401,443,958        11.07


                                                     Shares/Principal                      % of Partners'
                                                          Amount          Market Value        Capital
Cash Equivalents
United States Money Market Funds
Fidelity Investments Money Market Funds -
Government Portfolio, 0.01%#                                10,002,000    $  10,002,000    0.28
RBC U.S. Government Money Market Fund -
Institutional Share Class, 0.02%#                          408,532,000      408,532,000    11.27
Total United States Money Market Funds                                    $

418,534,000 11.55

#  Reflects the 7-day yield at December 31, 2020.

*  Collateral amounted to $723,771,439 on open commodity futures contracts.

See accompanying notes to financial statements.

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United States Oil Fund, LP

Statements of Operations
For the years ended December 31, 2021, 2020 and 2019

                                                 Year ended             Year ended            Year ended
                                              December 31, 2021     December 31, 2020      December 31, 2019
Income
Gain (loss) on trading of commodity
futures contracts:
Realized gain (loss) on closed commodity
futures contracts                            $     1,911,763,583    $  (2,251,576,260)    $       220,179,889
Change in unrealized gain (loss) on open
commodity futures contracts                        (287,006,734)           363,923,391            231,913,525
Realized gain (loss) on short-term
investments                                                    -                     -                 11,258
Dividend income                                          431,883             1,949,571              2,957,196
Interest income*                                         869,933             8,528,581             29,461,116
ETF transaction fees                                     169,000               289,546                312,000
Total Income (Loss)                          $     1,626,227,665    $  (1,876,885,171)    $       484,834,984

Expenses
General Partner management fees (Note 3)     $        13,383,302    $       15,388,313    $         6,461,273
Professional fees                                      6,994,549             2,694,975              1,440,997
Brokerage commissions                                  1,123,971             6,104,865              2,423,017

Directors' fees and insurance                            745,448           

   391,372                333,741
License fees                                             446,110               512,944                215,376
Registration fees                                      1,260,041             3,203,939                504,876
Total Expenses                               $        23,953,421    $       28,296,408    $        11,379,280
Net Income (Loss)                            $     1,602,274,244    $  (1,905,181,579)    $       473,455,704
Net Income (Loss) per limited partner
share                                        $             21.11    $          (69.20)    $            25.59†
Net Income (Loss) per weighted average
limited partner share                        $             24.54    $          (16.61)    $            31.24†
Weighted average limited partner shares
outstanding                                           65,289,630           114,667,411            15,155,959†

* Interest income does not exceed paid in kind of 5%.

On April 28, 2020, there was a 1-for-8 reverse share split. The Statements of † Operations have been adjusted for the periods shown to reflect the 1-for-8

reverse share split on a retroactive basis.

See accompanying notes to financial statements.

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United States Oil Fund, LP

Statements of Changes in Partners' Capital
For the years ended December 31, 2021, 2020 and 2019

                                                                   Limited Partners*
                                                 Year ended            Year ended           Year ended
                                                December 31,          December 31,         December 31,
                                                    2021                  2020                 2019†
Balances at beginning of year                 $   3,625,217,746    $    1,170,976,258    $   1,468,461,712
Addition of 26,000,000, 207,062,500 and
34,137,500 partnership shares,
respectively                                      1,239,249,023         8,030,979,653        3,196,742,422
Redemption of (91,800,000), (108,888,897)
and (41,837,500) partnership shares,
respectively                                    (4,092,581,747)       (3,671,556,586)      (3,967,683,580)
Net income (loss)                                 1,602,274,244       (1,905,181,579)          473,455,704

Balances at end of year                       $   2,374,159,266    $    

3,625,217,746 $ 1,170,976,258

*General Partners' shares outstanding and capital for the periods presented were zero.

†On April 28, 2020, there was a 1-for-8 reverse share split. The Statements of
Changes in Partners' Capital have been adjusted for the periods shown to reflect
the 1-for-8 reverse share split on a retroactive basis.

See accompanying notes to financial statements.

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United States Oil Fund, LP

Statements of Cash Flows
For the years ended December 31, 2021, 2020 and 2019

                                                   Year ended            Year ended            Year ended
                                               December 31, 2021     December 31, 2020     December 31, 2019
Cash Flows from Operating Activities:
Net income (loss)                              $    1,602,274,244    $  (1,905,181,579)    $      473,455,704
Adjustments to reconcile net income (loss)
to net cash provided by (used in) operating
activities:
Change in unrealized (gain) loss on open
commodity futures contracts                           287,006,734         (363,923,391)         (231,913,525)
(Increase) decrease in dividends receivable              (30,032)                 2,200               138,151
(Increase) decrease in interest receivable                107,416             (132,758)                   831
(Increase) decrease in prepaid insurance*               (106,243)                   817               (7,571)
(Increase) decrease in prepaid registration
fees                                                    1,260,041           (1,185,800)               504,876
(Increase) decrease in ETF transaction fees
receivable                                                  2,000                     -                     -
Increase (decrease) in payable due to
Broker                                               (23,667,355)            14,846,706             8,820,649
Increase (decrease) in General Partner
management fees payable                                 (469,125)               939,671             (116,084)
Increase (decrease) in professional fees
payable                                                 1,712,827               449,177             (287,285)
Increase (decrease) in brokerage
commissions payable                                     (123,270)               233,897                     -
Increase (decrease) in directors' fees
payable*                                                  (7,712)                 8,661                   441
Increase (decrease) in license fees payable              (40,723)               129,894              (13,869)
Net cash provided by (used in) operating
activities                                          1,867,918,802       (2,253,812,505)           250,582,318

Cash Flows from Financing Activities:
Addition of partnership shares                      1,239,249,023         8,030,979,653         3,218,764,872
Redemption of partnership shares                  (4,151,987,568)       (3,644,174,420)       (3,950,037,755)
Net cash provided by (used in) financing
activities                                        (2,912,738,545)         

4,386,805,233 (731,272,883)

Net Increase (Decrease) in Cash and Cash
Equivalents                                       (1,044,819,743)         

2,132,992,728 (480,690,565)

Total Cash, Cash Equivalents and Equity in
Trading Accounts, beginning of year                 3,309,238,139         1,176,245,411         1,656,935,976
Total Cash, Cash Equivalents and Equity in
Trading Accounts, end of year                  $    2,264,418,396    $    

3,309,238,139 $ 1,176,245,411

Components of Cash and Cash Equivalents:
Cash and cash equivalents                      $    1,565,100,289    $    2,585,466,700    $    1,026,973,397
Equity in Trading Accounts:
Cash and cash equivalents                             699,318,107           723,771,439           149,272,014
Total Cash, Cash Equivalents and Equity in
Trading Accounts                               $    2,264,418,396    $    

3,309,238,139 $ 1,176,245,411

*Certain prior year amounts have been reclassified for consistency with the current presentation.

See accompanying notes to financial statements.

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United States Oil Fund, LP

Notes to Financial Statements
For the years ended December 31, 2021, 2020 and 2019

NOTE 1 - ORGANIZATION AND BUSINESS

The United States Oil Fund, LP ("USO") was organized as a limited partnership
under the laws of the state of Delaware on May 12, 2005. USO is a commodity pool
that issues limited partnership interests ("shares") that may be purchased and
sold on the NYSE Arca, Inc. (the "NYSE Arca"). Prior to November 25, 2008, USO's
shares traded on the American Stock Exchange (the "AMEX"). USO will continue in
perpetuity, unless terminated sooner upon the occurrence of one or more events
as described in its Seventh Amended and Restated Agreement of Limited
Partnership dated as of December 15, 2017 (the "LP Agreement"), which grants
full management control to its general partner, United States Commodity Funds
LLC ("USCF"). The investment objective of USO is for the daily changes in
percentage terms of its shares' per share net asset value ("NAV") to reflect the
daily changes in percentage terms of the spot price of light, sweet crude oil
delivered to Cushing, Oklahoma, as measured by the daily changes in the price of
the Benchmark Oil Futures Contract, plus interest earned on USO's collateral
holdings, less USO's expenses. The Benchmark Oil Futures Contract is the futures
contract for light, sweet crude oil as traded on the New York Mercantile
Exchange (the "NYMEX") that is the near month contract to expire, except when
the near month contract is within two weeks of expiration, in which case it will
be measured by the futures contract that is the next month contract to expire.
Specifically, USO seeks to achieve its investment objective by investing so that
the average daily percentage change in USO's NAV for any period of 30 successive
valuation days will be within plus/minus ten percent (10)% of the average daily
percentage change in the price of the Benchmark Oil Futures Contract over the
same period. USO is currently unable to pursue its investment objective with the
same high degree of success that it has in the past due to its limited ability
to invest in the Benchmark Oil Futures Contract and certain other Oil Futures
Contracts, as defined below, to the same extent it was able to before the market
conditions and regulatory limitations imposed on USO occurred in Spring of 2020,
and risk mitigation measures taken by USO's FCMs as a result, as described
herein, arose. As a result of such market conditions, the regulatory conditions
that were and could again be imposed and the risk mitigation measures imposed by
its FCMs, there is still uncertainty as to whether USO will be able to achieve
its investment objective within as narrow a percentage change difference in its
NAV for any period of 30 successive valuation days and the average daily
percentage change in the price of the Benchmark Oil Futures Contract as it
typically had prior to the Spring of 2020 due to the foregoing factors.

Investors should be aware that USO's investment objective is not for its NAV or
market price of shares to equal, in dollar terms, the spot price of light, sweet
crude oil or any particular futures contract based on light, sweet crude oil,
nor is USO's investment objective for the percentage change in its NAV to
reflect the percentage change of the price of any particular futures contract as
measured over a time period greater than one day. This is because natural market
forces called contango and backwardation have impacted the total return on an
investment in USO's shares during the past year relative to a hypothetical
direct investment in crude oil and, in the future, it is likely that the
relationship between the market price of USO's shares and changes in the spot
prices of light, sweet crude oil will continue to be so impacted by contango and
backwardation. While USO's shares may be impacted by contango and backwardation,
the potential costs associated with physically owning and storing crude oil,
could be substantial. USCF believes that it is not practical to manage the
portfolio to achieve the foregoing investment objective when investing in Oil
Futures Contracts (as defined below) and Other Oil-Related Investments (as
defined below). USO accomplishes its objective through investments in futures
contracts for light, sweet crude oil and other types of crude oil,
diesel-heating oil, gasoline, natural gas and other petroleum-based fuels that
are traded on the NYMEX, ICE Futures or other U.S. and foreign exchanges
(collectively, "Oil Futures Contracts") and other oil-related investments such
as cash-settled options on Oil Futures Contracts, forward contracts for oil,
cleared swap contracts and over-the-counter ("OTC") transactions that are based
on the price of crude oil, diesel-heating oil, gasoline, natural gas and other
petroleum-based fuels, Oil Futures Contracts and indices based on the foregoing
(collectively, "Other Oil-Related Investments"). As of December 31, 2021, USO
held 32,136 Oil Futures Contracts for light, sweet crude oil traded on the NYMEX
and did not hold any Oil Futures Contracts for light, sweet crude oil traded on
the ICE Futures Europe.

USO commenced investment operations on April 10, 2006 and has a fiscal year
ending on December 31. USCF is a member of the National Futures Association (the
"NFA") and became registered as a commodity pool operator with the Commodity
Futures Trading Commission (the "CFTC") effective December 1, 2005 and a swaps
firm on August 8, 2013.

USCF is also the general partner of the United States Natural Gas Fund, LP
("UNG"), the United States 12 Month Oil Fund, LP ("USL") and the United States
Gasoline Fund, LP ("UGA"), which listed their limited partnership shares on the
AMEX under the ticker symbols "UNG" on April 18, 2007, "USL" on December 6, 2007
and "UGA" on February 26, 2008, respectively. As a result of the acquisition of
the AMEX by NYSE Euronext, each of UNG's, USL's and UGA's shares commenced
trading on the NYSE Arca on November 25, 2008. USCF is also the general partner
of the United States 12 Month Natural Gas Fund, LP ("UNL") and the United States
Brent Oil Fund, LP ("BNO"), which listed their limited partnership shares on the
NYSE Arca under the ticker symbols "UNL" on November 18, 2009 and "BNO" on

June
2, 2010, respectively.

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USCF is also the sponsor of the United States Commodity Index Funds Trust
("USCIFT"), a Delaware statutory trust and each of its series: the United States
Commodity Index Fund ("USCI") and the United States Copper Index Fund ("CPER").
USCI and CPER listed their shares on the NYSE Arca under the ticker symbols
"USCI" on August 10, 2010 and "CPER" on November 15, 2011, respectively.

UNG, UGA, UNL, USL, BNO, USCI and CPER are referred to collectively herein as the "Related Public Funds."

USO issues shares to certain authorized purchasers ("Authorized Participants")
by offering baskets consisting of 100,000 shares ("Creation Baskets") through
ALPS Distributors, Inc., as the marketing agent (the "Marketing Agent"). The
purchase price for a Creation Basket is based upon the NAV of a share calculated
shortly after the close of the core trading session on the NYSE Arca on the day
the order to create the basket is properly received.

Authorized Participants pay USO a transaction fee of $1,000 for each order
placed to create one or more Creation Baskets or to redeem one or more baskets
("Redemption Baskets"), consisting of 100,000 shares. Shares may be purchased or
sold on a nationally recognized securities exchange in smaller increments than a
Creation Basket or Redemption Basket. Shares purchased or sold on a nationally
recognized securities exchange are not purchased or sold at the per share NAV of
USO but rather at market prices quoted on such exchange.

On April 28, 2020, after the close of trading on the NYSE Arca, USO effected a
1-for-8 reverse share split and post-split shares of USO began trading on April
29, 2020. As a result of the reverse share split, every eight pre-split shares
of USO were automatically exchanged for one post-split share. Immediately prior
to the reverse split, there were 1,482,900,000 shares of USO issued and
outstanding, representing a per share NAV of $2.04. Immediately after the effect
of the reverse share split, the number of issued and outstanding shares of USO
decreased to 185,362,500, not accounting for fractional shares, and the per
share NAV increased to $16.35. In connection with the reverse share split, the
CUSIP number for USO's shares changed to 91232N207. USO's ticker symbol, "USO,"
remains the same. The accompanying financial statements have been adjusted to
reflect the effect of the reverse share split on a retroactive basis.

In April 2006, USO initially registered 17,000,000 shares on Form S-1 with the
U.S. Securities and Exchange Commission (the "SEC"). On April 10, 2006, USO
listed its shares on the AMEX under the ticker symbol "USO" and switched to
trading on the NYSE Arca under the same ticker symbol on November 25, 2008. On
that day, USO established its initial per share NAV by setting the price at
$67.39 and issued 200,000 shares in exchange for $13,479,000. USO also commenced
investment operations on April 10, 2006, by purchasing Oil Futures Contracts
traded on the NYMEX based on light, sweet crude oil. As of December 31, 2021,
USO had registered a total of 5,627,000,000 shares.

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The financial statements have been prepared in conformity with U.S. GAAP as detailed in the Financial Accounting Standards Board's ("FASB") Accounting Standards Codification. USO is an investment company for accounting purposes and follows the accounting and reporting guidance in FASB Topic 946.

Revenue Recognition

Commodity futures contracts, swap and forward contracts, physical commodities
and related options are recorded on the trade date. All such transactions are
recorded on the identified cost basis and marked to market daily. Unrealized
gains or losses on open contracts are reflected in the statements of financial
condition and represent the difference between the original contract amount and
the market value (as determined by exchange settlement prices for futures
contracts and related options and cash dealer prices at a predetermined time for
swap and forward contracts, physical commodities, and their related options) as
of the last business day of the year or as of the last date of the financial
statements. Changes in the unrealized gains or losses between periods are
reflected in the statements of operations. USO earns income on funds held at the
custodian or futures commission merchants ("FCMs") at prevailing market rates
earned on such investments.

Brokerage Commissions

Brokerage commissions on all open commodity futures contracts are accrued on a full-turn basis.

Income Taxes

USO is not subject to federal income taxes; each partner reports his/her allocable share of income, gain, loss deductions or credits on his/her own income tax return.

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In accordance with U.S. GAAP, USO is required to determine whether a tax
position is more likely than not to be sustained upon examination by the
applicable taxing authority, including resolution of any tax related appeals or
litigation processes, based on the technical merits of the position. USO files
an income tax return in the U.S. federal jurisdiction and may file income tax
returns in various U.S. states. USO is not subject to income tax return
examinations by major taxing authorities for years before 2018. The tax benefit
recognized is measured as the largest amount of benefit that has a greater than
fifty percent likelihood of being realized upon ultimate settlement.
De-recognition of a tax benefit previously recognized results in USO recording a
tax liability that reduces net assets. However, USO's conclusions regarding this
policy may be subject to review and adjustment at a later date based on factors
including, but not limited to, on-going analysis of and changes to tax laws,
regulations and interpretations thereof. USO recognizes interest accrued related
to unrecognized tax benefits and penalties related to unrecognized tax benefits
in income tax fees payable, if assessed. No interest expense or penalties have
been recognized as of and for the year ended December 31, 2021.

Creations and Redemptions

Authorized Participants may purchase Creation Baskets or redeem Redemption Baskets only in blocks of 100,000 shares at a price equal to the NAV of the shares calculated shortly after the close of the core trading session on the NYSE Arca on the day the order is placed.

USO receives or pays the proceeds from shares sold or redeemed within two
business days after the trade date of the purchase or redemption. The amounts
due from Authorized Participants are reflected in USO's statements of financial
condition as receivable for shares sold and amounts payable to Authorized
Participants upon redemption are reflected as payable for shares redeemed.

Authorized Participants pay USO a $1,000 transaction fee for each order placed to create one or more Creation Baskets or to redeem one or more Redemption Baskets.

Partnership Capital and Allocation of Partnership Income and Losses

Profit or loss shall be allocated among the partners of USO in proportion to the number of shares each partner holds as of the close of each month. USCF may revise, alter or otherwise modify this method of allocation as described in the LP Agreement.

Calculation of Per Share NAV

USO's per share NAV is calculated on each NYSE Arca trading day by taking the
current market value of its total assets, subtracting any liabilities and
dividing that amount by the total number of shares outstanding. USO uses the
closing price for the contracts on the relevant exchange on that day to
determine the value of contracts held on such exchange.

Net Income (Loss) Per Share

Net income (loss) per share is the difference between the per share NAV at the
beginning of each period and at the end of each period. The weighted average
number of shares outstanding was computed for purposes of disclosing net income
(loss) per weighted average share. The weighted average shares are equal to the
number of shares outstanding at the end of the period, adjusted proportionately
for shares added and redeemed based on the amount of time the shares were
outstanding during such period. There were no shares held by USCF at
December 31, 2021.

Offering Costs

Offering costs incurred in connection with the registration of additional shares
after the initial registration of shares are borne by USO. These costs include
registration fees paid to regulatory agencies and all legal, accounting,
printing and other expenses associated with such offerings. These costs are
accounted for as a deferred charge and thereafter amortized to expense over
twelve months on a straight-line basis or a shorter period if warranted.

Cash Equivalents

Cash equivalents include money market funds and overnight deposits or time deposits with original maturity dates of six months or less.

Reclassification

Certain amounts in the accompanying financial statements were reclassified to conform to the current presentation.

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Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires
USCF to make estimates and assumptions that affect the reported amount of assets
and liabilities and disclosure of contingent assets and liabilities at the date
of the financial statements, and the reported amounts of the revenue and
expenses during the reporting period. Actual results may differ from those
estimates and assumptions.

NOTE 3 - FEES PAID BY THE FUND AND RELATED PARTY TRANSACTIONS

USCF Management Fee

Under the LP Agreement, USCF is responsible for investing the assets of USO in accordance with the objectives and policies of USO. In addition, USCF has arranged for one or more third parties to provide administrative, custody, accounting, transfer agency and other necessary services to USO. For these services, USO is contractually obligated to pay USCF a fee, which is paid monthly, equal to 0.45% per annum of average daily total net assets.

Ongoing Registration Fees and Other Offering Expenses

USO pays all costs and expenses associated with the ongoing registration of its
shares subsequent to the initial offering. These costs include registration or
other fees paid to regulatory agencies in connection with the offer and sale of
shares, and all legal, accounting, printing and other expenses associated with
such offer and sale. For the years ended December 31, 2021, 2020 and 2019, USO
incurred $1,260,041, $3,203,939 and $504,876 respectively, in registration fees
and other offering expenses.

Independent Directors' and Officers' Expenses

USO is responsible for paying its portion of the directors' and officers'
liability insurance for USO and the Related Public Funds and the fees and
expenses of the independent directors who also serve as audit committee members
of USO and the Related Public Funds. USO shares the fees and expenses on a pro
rata basis with each Related Public Fund, as described above, based on the
relative assets of each Related Public Fund computed on a daily basis. These
fees and expenses for the year ending December 31, 2021 are estimated to be a
total of $745,448 for USO and, in the aggregate for USO and the Related Public
Funds, $1,081,963. For the year ended December 31, 2020, these fees and expenses
were $585,896 for USO and the Related Public Funds. USO's portion of such fees
and expenses for the year ended December 31, 2020 was $391,372. For the year
ended December 31, 2019, these fees and expenses were $556,951 for USO and the
Related Public Funds. USO's portion of such fees and expenses for the year ended
December 31, 2019 was $333,741.

Licensing Fees

As discussed in Note 4 below, USO entered into a licensing agreement with the
NYMEX on April 10, 2006, as amended on October 20, 2011. Pursuant to the
agreement, USO and the Related Public Funds, other than BNO, USCI and CPER, pay
a licensing fee that is equal to 0.015% on all net assets. During the years
ended December 31, 2021, 2020 and 2019, USO incurred $446,110, $512,944 and
$215,376, respectively under this arrangement.

Investor Tax Reporting Cost

The fees and expenses associated with USO's audit expenses and tax accounting
and reporting requirements are paid by USO. These costs are estimated to be
$6,800,000 for the year ending December 31, 2021. For the years ending December
31, 2020, and 2019 USO's investor reporting costs totaled $2,178,975 and
$1,400,997 respectively. Tax reporting costs fluctuate between years due to the
number of shareholders during any given year.

Other Expenses and Fees

In addition to the fees described above, USO pays all brokerage fees and other
expenses in connection with the operation of USO, excluding costs and expenses
paid by USCF as outlined in Note 4 - Contracts and Agreements below.

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NOTE 4 - CONTRACTS AND AGREEMENTS

Marketing Agent Agreement

USO is party to a marketing agent agreement, dated as of March 13, 2006, as
amended from time to time, with the Marketing Agent and USCF, whereby the
Marketing Agent provides certain marketing services for USO as outlined in the
agreement. The fees of the Marketing Agent, which are borne by USCF, include a
marketing fee of $425,000 per annum plus the following incentive fee: 0.00% on
USO's assets from $0 - $500 million; 0.04% on USO's assets from $500 million -
$4 billion and 0.03% on USO's assets in excess of $4 billion. In no event may
the aggregate compensation paid to the Marketing Agent and any affiliate of USCF
for distribution-related services exceed 10% of the gross proceeds of USO's
offering.

The above fee does not include website construction and development, which are also borne by USCF.

Custody, Transfer Agency and Fund Administration and Accounting Services Agreements

USCF engaged The Bank of New York Mellon, a New York corporation authorized to
do a banking business ("BNY Mellon"), to provide USO and each of the Related
Public Funds with certain custodial, administrative and accounting, and transfer
agency services, pursuant to the following agreements with BNY Mellon dated as
of March 20, 2020 (together, the "BNY Mellon Agreements"), which were effective
as of April 1, 2020: (i) a Custody Agreement; (ii) a Fund Administration and
Accounting Agreement; and (iii) a Transfer Agency and Service Agreement. USCF
pays the fees of BNY Mellon for its services under the BNY Mellon Agreements and
such fees are determined by the parties from time to time.

Brown Brothers Harriman and Co. ("BBH&Co.") previously served as the
Administrator, Custodian, Transfer Agent and Fund Accounting Agent for USO and
the Related Public Funds prior to BNY Mellon commencing such services on April
1, 2020. Certain fund accounting and fund administration services rendered by
BBH&Co. to USO and the Related Public Funds terminated on May 31, 2020 to allow
for the transition to BNY Mellon.

Brokerage and Futures Commission Merchant Agreements

USO entered into a brokerage agreement with RBC Capital Markets LLC ("RBC") to
serve as USO's FCM effective October 10, 2013. USO has engaged each of RCG
Division of Marex Spectron ("RCG"), E D & F Man Capital Markets Inc. ("MCM") and
Macquarie Futures USA LLC ("MFUSA") to serve as an additional FCM to USO
effective on May 28, 2020, June 5, 2020, and December 3, 2020, respectively. The
agreements with USO's FCMs require the FCMs to provide services to USO in
connection with the purchase and sale of Oil Futures Contracts and Other
Oil-Related Investments that may be purchased and sold by or through the
applicable FCM for USO's account. In accordance with the FCM agreements, USO
pays each FCM commissions of approximately $7 to $8 per round-turn trade,
including applicable exchange, clearing and NFA fees for Oil Futures Contracts
and options on Oil Futures Contracts. Such fees include those incurred when
purchasing Oil Futures Contracts and options on Oil Futures Contracts when USO
issues shares as a result of a Creation Basket, as well as fees incurred when
selling Oil Futures Contracts and options on Oil Futures Contracts when USO
redeems shares as a result of a Redemption Basket. Such fees are also incurred
when Oil Futures Contracts and options on Oil Futures Contracts are purchased or
redeemed for the purpose of rebalancing the portfolio. USO also incurs
commissions to brokers for the purchase and sale of Oil Futures Contracts, Other
Oil-Related Investments or short-term obligations of the United States of
two years or less ("Treasuries").

                                                  Year ended             Year ended             Year ended
                                               December 31, 2021      December 31, 2020      December 31, 2019
Total commissions accrued to brokers          $         1,123,971    $         6,104,865    $         2,423,017
Total commissions as annualized percentage
of average total net assets                                  0.04 %                 0.18 %                 0.17 %
Commissions accrued as a result of
rebalancing                                   $           858,171    $         5,072,915    $         2,052,263
Percentage of commissions accrued as a
result of rebalancing                                       76.35 %                83.10 %                84.70 %
Commissions accrued as a result of
creation and redemption activity              $           265,800    $         1,031,950    $           370,754
Percentage of commissions accrued as a
result of creation and redemption activity                  23.65 %                16.90 %                15.30 %


The decrease in total commissions accrued to brokers for the year ended December
31, 2021, compared to the year ended December 31, 2020, was due primarily to a
lower number of crude oil futures contracts being held and traded.

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NYMEX Licensing Agreement

USO and the NYMEX entered into a licensing agreement on April 10, 2006, as
amended on October 20, 2011, whereby USO was granted a non-exclusive license to
use certain of the NYMEX's settlement prices and service marks. Under the
licensing agreement, USO and the Related Public Funds, other than BNO, USCI and
CPER, pay the NYMEX an asset-based fee for the license, the terms of which are
described in Note 3. USO expressly disclaims any association with the NYMEX or
endorsement of USO by the NYMEX and acknowledges that "NYMEX" and "New York
Mercantile Exchange" are registered trademarks of the NYMEX.

NOTE 5 - FINANCIAL INSTRUMENTS, OFF-BALANCE SHEET RISKS AND CONTINGENCIES

USO may engage in the trading of futures contracts, options on futures
contracts, cleared swaps and OTC swaps (collectively, "derivatives"). USO is
exposed to both market risk, which is the risk arising from changes in the
market value of the contracts, and credit risk, which is the risk of failure by
another party to perform according to the terms of a contract.

USO may enter into futures contracts, options on futures contracts, cleared
swaps, and OTC-swaps to gain exposure to changes in the value of an underlying
commodity. A futures contract obligates the seller to deliver (and the purchaser
to accept) the future delivery of a specified quantity and type of a commodity
at a specified time and place. Some futures contracts may call for physical
delivery of the asset, while others are settled in cash. The contractual
obligations of a buyer or seller may generally be satisfied by taking or making
physical delivery of the underlying commodity or by making an offsetting sale or
purchase of an identical futures contract on the same or linked exchange before
the designated date of delivery. Cleared swaps are agreements that are eligible
to be cleared by a clearinghouse, e.g., ICE Clear Europe, and provide the
efficiencies and benefits that centralized clearing on an exchange offers to
traders of futures contracts, including credit risk intermediation and the
ability to offset positions initiated with different counterparties. OTC swaps
are entered into between two parties in private contracts. In an OTC swap, each
party bears credit risk to the other party, i.e., the risk that the other party
may not be able to perform its obligations under the OTC swap.

The purchase and sale of futures contracts, options on futures contracts and
cleared swaps require margin deposits with an FCM. Additional deposits may be
necessary for any loss on contract value. The Commodity Exchange Act requires
FCMs to segregate all customer transactions and assets from the FCM's
proprietary transactions and assets. To reduce the credit risk that arises in
connection with OTC swaps, USO will generally enter into an agreement with each
counterparty based on the Master Agreement published by the International Swaps
and Derivatives Association, Inc., which provides for the netting of its overall
exposure to its counterparty. The Master Agreement is negotiated as between the
parties and would address, among other things, the exchange of margin between
the parties.

Futures contracts, options on futures contracts and cleared swaps involve, to
varying degrees, elements of market risk (specifically commodity price risk) and
exposure to loss in excess of the amount of variation margin. The face or
contract amounts reflect the extent of the total exposure USO has in the
particular classes of instruments. Additional risks associated with the use of
futures contracts are an imperfect correlation between movements in the price of
the futures contracts and the market value of the underlying securities and the
possibility of an illiquid market for a futures contract. Buying and selling
options on futures contracts exposes investors to the risks of purchasing or
selling futures contracts.

As to OTC swaps, valuing OTC derivatives is less certain than valuing actively
traded financial instruments such as exchange-traded futures contracts and
securities or cleared swaps, because the price and terms on which such OTC
derivatives are entered into or can be terminated are individually negotiated,
and those prices and terms may not reflect the best price or terms available
from other sources. In addition, while market makers and dealers generally quote
indicative prices or terms for entering into or terminating OTC contracts, they
typically are not contractually obligated to do so, particularly if they are not
a party to the transaction. As a result, it may be difficult to obtain an
independent value for an outstanding OTC derivatives transaction.

A novel strain of coronavirus (COVID-19) outbreak was declared a pandemic by the
World Health Organization on March 11, 2020. The situation is evolving with
various cities and countries around the world responding in different ways to
address the outbreak. There are direct and indirect economic effects developing
for various industries and individual companies throughout the world. Management
will continue to monitor the impact COVID-19 has on USO and reflect the
consequences as appropriate in USO's accounting and financial reporting. The
pandemic spread of the novel coronavirus and related geopolitical events could
lead to increased market volatility, disruption to U.S. and world economies and
markets and may have significant adverse effects on USO and its investments.

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All of the futures contracts held by USO through December 31, 2021 were
exchange-traded. The risks associated with exchange-traded contracts are
generally perceived to be less than those associated with OTC swaps since, in
OTC swaps, a party must rely solely on the credit of its respective individual
counterparties. However, in the future, if USO were to enter into non-exchange
traded contracts, it would be subject to the credit risk associated with
counterparty non-performance. The credit risk from counterparty non-performance
associated with such instruments is the net unrealized gain, if any, on the
transaction. USO has credit risk under its futures contracts since the sole
counterparty to all domestic and foreign futures contracts is the clearinghouse
for the exchange on which the relevant contracts are traded. In addition, USO
bears the risk of financial failure by the clearing broker.

USO's cash and other property, such as Treasuries, deposited with its FCMs are
considered commingled with all other customer funds, subject to such FCM's
segregation requirements. In the event of an FCM's insolvency, recovery may be
limited to a pro rata share of segregated funds available. It is possible that
the recovered amount could be less than the total of cash and other property
deposited. The insolvency of an FCM could result in the complete loss of USO's
assets posted with that FCM; however, the majority of USO's assets are held in
investments in Treasuries, cash and/or cash equivalents with USO's custodian and
would not be impacted by the insolvency of an FCM. The failure or insolvency
of USO's custodian, however, could result in a substantial loss of USO's assets.

USCF invests a portion of USO's cash in money market funds that seek to maintain
a stable per share NAV. USO is exposed to any risk of loss associated with an
investment in such money market funds. As of December 31, 2021 and December 31,
2020, USO held investments in money market funds in the amounts of
$1,544,534,000 and $418,534,000, respectively. USO also holds cash deposits with
its custodian. As of December 31, 2021 and December 31, 2020, USO held cash
deposits and investments in Treasuries in the amounts of $719,884,396 and
$2,890,704,139 respectively, with the custodian and FCMs. Some or all of these
amounts may be subject to loss should USO's custodian and/or FCMs cease
operations.

For derivatives, risks arise from changes in the market value of the contracts.
Theoretically, USO is exposed to market risk equal to the value of futures
contracts purchased and unlimited liability on such contracts sold short or that
the value of the futures contract could fall below zero. As both a buyer and a
seller of options, USO pays or receives a premium at the outset and then bears
the risk of unfavorable changes in the price of the contract underlying the
option.

USO's policy is to continuously monitor its exposure to market and counterparty
risk through the use of a variety of financial, position and credit exposure
reporting controls and procedures. In addition, USO has a policy of requiring
review of the credit standing of each broker or counterparty with which it
conducts business.

The financial instruments held by USO are reported in its statements of financial condition at market or fair value, or at carrying amounts that approximate fair value, because of their highly liquid nature and short-term maturity.

Settlement of SEC and CFTC Investigations

On November 8, 2021, USCF and USO announced a resolution with each of the SEC
and the CFTC relating to matters set forth in certain Wells Notices issued by
the staffs of each of the SEC and CFTC as more fully described below.

On August 17, 2020, USCF, USO, and John Love received a "Wells Notice" from the
staff of the SEC (the "SEC Wells Notice"). The SEC Wells Notice stated that the
SEC staff made a preliminary determination to recommend that the SEC file an
enforcement action against USCF, USO, and Mr. Love alleging violations of
Sections 17(a)(1) and 17(a)(3) of the Securities Act of 1933, as amended (the
"1933 Act"), and Section 10(b) of the Securities Exchange Act of 1934, as
amended (the "1934 Act"), and Rule 10b-5 thereunder.

Subsequently, on August 19, 2020, USCF, USO, and Mr. Love received a Wells
Notice from the staff of the CFTC (the "CFTC Wells Notice"). The CFTC Wells
Notice stated that the CFTC staff made a preliminary determination to recommend
that the CFTC file an enforcement action against USCF, USO, and Mr. Love
alleging violations of Sections 4o(1)(A) and (B) and 6(c)(1) of the Commodity
Exchange Act of 1936, as amended (the "CEA"), 7 U.S.C. §§ 6o(1)(A) and (B) and
9(1) (2018), and CFTC Regulations 4.26, 4.41, and 180.1(a), 17 C.F.R. §§ 4.26,
4.41, 180.1(a) (2019).

On November 8, 2021, acting pursuant to an offer of settlement submitted by USCF
and USO, the SEC issued an order instituting cease-and-desist proceedings,
making findings, and imposing a cease-and-desist order pursuant to Section 8A of
the 1933 Act, directing USCF and USO to cease and desist from committing or
causing any violations of Section 17(a)(3) of the 1933 Act, 15 U.S.C. §
77q(a)(3) (the "SEC Order"). In the SEC Order, the SEC made findings that, from
April 24, 2020 to May 21, 2020, USCF and USO violated Section 17(a)(3) of 1933
Act, which provides that it is "unlawful for any person in the offer or sale of
any securities to engage in any transaction, practice, or course of business
which operates or would operate as a fraud or deceit upon the purchaser." USCF
and USO consented to entry of the SEC Order without admitting or denying the
findings contained therein, except as to jurisdiction.

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Separately, on November 8, 2021, acting pursuant to an offer of settlement
submitted by USCF, the CFTC issued an order instituting cease-and-desist
proceedings, making findings, and imposing a cease-and-desist order pursuant to
Section 6(c) and (d) of the CEA, directing USCF to cease and desist from
committing or causing any violations of Section 4o(1)(B) of the CEA, 7 U.S.C. §
6o(1) (B), and CFTC Regulation 4.41(a)(2), 17 C.F.R. § 4.41(a)(2) (the "CFTC
Order"). In the CFTC Order, the CFTC made findings that, from on or about April
22, 2020 to June 12, 2020, USCF violated Section 4o(1)(B) of the CEA and CFTC
Regulation 4.41(a)(2), which make it unlawful for any commodity pool operator
("CPO") to engage in "any transaction, practice, or course of business which
operates as a fraud or deceit upon any client or participant or prospective
client or participant" and prohibit a CPO from advertising in a manner which
"operates as a fraud or deceit upon any client or participant or prospective
client or participant," respectively. USCF consented to entry of the CFTC Order
without admitting or denying the findings contained therein, except as to
jurisdiction.

Pursuant to the SEC Order and the CFTC Order, in addition to the command to
cease and desist from committing or causing any violations of Section 17(a)(3)
of the 1933 Act, Section 4o(1)(B) of the CEA, and CFTC Regulation 4.14(a)(2),
civil monetary penalties totaling two million five hundred thousand dollars
($2,500,000) in the aggregate were required to be paid to the SEC and CFTC, of
which one million two hundred fifty thousand dollars ($1,250,000) was paid by
USCF to each of the SEC and the CFTC, respectively, pursuant to the offsets
permitted under the orders.

In re: United States Oil Fund, LP Securities Litigation

On June 19, 2020, USCF, USO, John P. Love, and Stuart P. Crumbaugh were named as
defendants in a putative class action filed by purported shareholder Robert
Lucas (the "Lucas Class Action").  The Court thereafter consolidated the Lucas
Class Action with two related putative class actions filed on July 31, 2020 and
August 13, 2020, and appointed a lead plaintiff.  The consolidated class action
is pending in the U.S. District Court for the Southern District of New York
under the caption In re: United States Oil Fund, LP Securities Litigation, Civil
Action No. 1:20-cv-04740.

On November 30, 2020, the lead plaintiff filed an amended complaint (the
"Amended Lucas Class Complaint"). The Amended Lucas Class Complaint asserts
claims under the 1933 Act, the Exchange Act, and Rule 10b-5.  The Amended Lucas
Class Complaint challenges statements in registration statements that became
effective on February 25, 2020 and March 23, 2020 as well as subsequent public
statements through April 2020 concerning certain extraordinary market conditions
and the attendant risks that caused the demand for oil to fall precipitously,
including the COVID-19 global pandemic and the Saudi Arabia-Russia oil price
war.  The Amended Lucas Class Complaint purports to have been brought by an
investor in USO on behalf of a class of similarly-situated shareholders who
purchased USO securities between February 25, 2020 and April 28, 2020 and
pursuant to the challenged registration statements.  The Amended Lucas Class
Complaint seeks to certify a class and to award the class compensatory damages
at an amount to be determined at trial as well as costs and attorney's fees.
 The Amended Lucas Class Complaint named as defendants USCF, USO, John P. Love,
Stuart P. Crumbaugh, Nicholas D. Gerber, Andrew F Ngim, Robert L. Nguyen, Peter
M. Robinson, Gordon L. Ellis, and Malcolm R. Fobes III, as well as the marketing
agent, ALPS Distributors, Inc., and the Authorized Participants: ABN Amro, BNP
Paribas Securities Corporation, Citadel Securities LLC, Citigroup Global
Markets, Inc., Credit Suisse Securities USA LLC, Deutsche Bank Securities Inc.,
Goldman Sachs & Company, J.P. Morgan Securities Inc., Merrill Lynch Professional
Clearing Corporation, Morgan Stanley & Company Inc., Nomura Securities
International Inc., RBC Capital Markets LLC, SG Americas Securities LLC, UBS
Securities LLC, and Virtu Financial BD LLC.

The lead plaintiff has filed a notice of voluntary dismissal of its claims
against BNP Paribas Securities Corporation, Citadel Securities LLC, Citigroup
Global Markets Inc., Credit Suisse Securities USA LLC, Deutsche Bank Securities
Inc., Morgan Stanley & Company, Inc., Nomura Securities International, Inc., RBC
Capital Markets, LLC, SG Americas Securities LLC, and UBS Securities LLC.

USCF, USO, and the individual defendants in In re: United States Oil Fund, LP
Securities Litigation intend to vigorously contest such claims and have moved
for their dismissal.

Wang Class Action

On July 10, 2020, purported shareholder Momo Wang filed a putative class action
complaint, individually and on behalf of others similarly situated, against
defendants USO, USCF, John P. Love, Stuart P. Crumbaugh, Nicholas D. Gerber,
Andrew F Ngim, Robert L. Nguyen, Peter M. Robinson, Gordon L. Ellis, Malcolm R.
Fobes, III, ABN Amro, BNP Paribas Securities Corp., Citadel Securities LLC,
Citigroup Global Markets Inc., Credit Suisse Securities USA LLC, Deutsche Bank
Securities Inc., Goldman Sachs & Company, JP Morgan Securities Inc., Merrill
Lynch Professional Clearing Corp., Morgan Stanley & Company Inc., Nomura
Securities International Inc., RBC Capital Markets LLC, SG Americas Securities
LLC, UBS Securities LLC, and Virtu Financial BD LLC, in the U.S. District Court
for the Northern District of California as Civil Action No. 3:20-cv-4596 (the
"Wang Class Action").

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The Wang Class Action asserted federal securities claims under the 1933 Act,
challenging disclosures in a March 19, 2020 registration statement. It alleged
that the defendants failed to disclose to investors in USO certain extraordinary
market conditions and the attendant risks that caused the demand for oil to fall
precipitously, including the COVID-19 global pandemic and the Saudi
Arabia-Russia oil price war. The Wang Class Action was voluntarily dismissed on
August 4, 2020.

Mehan Action

On August 10, 2020, purported shareholder Darshan Mehan filed a derivative
action on behalf of nominal defendant USO, against defendants USCF, John P.
Love, Stuart P. Crumbaugh, Nicholas D. Gerber, Andrew F Ngim, Robert L. Nguyen,
Peter M. Robinson, Gordon L. Ellis, and Malcolm R. Fobes, III (the "Mehan
Action"). The action is pending in the Superior Court of the State of California
for the County of Alameda as Case No. RG20070732.

The Mehan Action alleges that the defendants breached their fiduciary duties to
USO and failed to act in good faith in connection with a March 19, 2020
registration statement and offering and disclosures regarding certain
extraordinary market conditions that caused demand for oil to fall
precipitously, including the COVID-19 global pandemic and the Saudi
Arabia-Russia oil price war. The complaint seeks, on behalf of USO, compensatory
damages, restitution, equitable relief, attorney's fees, and costs. All
proceedings in the Mehan Action are stayed pending disposition of the motion(s)
to dismiss in In re: United States Oil Fund, LP Securities Litigation.

USCF, USO, and the other defendants intend to vigorously contest such claims.

In re United States Oil Fund, LP Derivative Litigation

On August 27, 2020, purported shareholders Michael Cantrell and AML Pharm. Inc.
DBA Golden International filed two separate derivative actions on behalf of
nominal defendant USO, against defendants USCF, John P. Love, Stuart P.
Crumbaugh, Andrew F Ngim, Gordon L. Ellis, Malcolm R. Fobes, III, Nicholas D.
Gerber, Robert L. Nguyen, and Peter M. Robinson in the U.S. District Court for
the Southern District of New York at Civil Action No. 1:20-cv-06974 (the
"Cantrell Action") and Civil Action No. 1:20-cv-06981 (the "AML Action"),
respectively.

The complaints in the Cantrell and AML Actions are nearly identical. They each
allege violations of Sections 10(b), 20(a), and 21D of the Exchange Act, Rule
10b-5 thereunder, and common law claims of breach of fiduciary duties, unjust
enrichment, abuse of control, gross mismanagement, and waste of corporate
assets. These allegations stem from USO's disclosures and defendants' alleged
actions in light of the extraordinary market conditions in 2020 that caused
demand for oil to fall precipitously, including the COVID-19 global pandemic and
the Saudi Arabia-Russia oil price war. The complaints seek, on behalf of USO,
compensatory damages, restitution, equitable relief, attorney's fees, and costs.
The plaintiffs in the Cantrell and AML Actions have marked their actions as
related to the Lucas Class Action.

The Court consolidated the Cantrell and AML Actions under the caption In re
United States Oil Fund, LP Derivative Litigation, Civil Action No. 1:20-cv-06974
and appointed co-lead counsel. All proceedings in In re United States Oil Fund,
LP Derivative Litigation are stayed pending disposition of the motion(s) to
dismiss in In re: United States Oil Fund, LP Securities Litigation.

USCF, USO, and the other defendants intend to vigorously contest the claims in In re United States Oil Fund, LP Derivative Litigation.

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NOTE 6 - FINANCIAL HIGHLIGHTS

The following table presents per share performance data and other supplemental
financial data for the years ended December 31, 2021, 2020 and 2019 for the
shareholders. This information has been derived from information presented

in
the financial statements.

                                          Year ended             Year ended              Year ended
                                       December 31, 2021      December 31, 2020      December 31, 2019*
Per Share Operating Performance:
Net asset value, beginning of year    $             33.07    $            102.27    $              76.68
Total income (loss)                                 21.48                (68.95)                   26.34
Total expenses                                     (0.37)                 (0.25)                  (0.75)
Net increase (decrease) in net
asset value                                         21.11                (69.20)                   25.59
Net asset value, end of year          $             54.18    $            

33.07    $             102.27

Total Return                                        63.83 %              (67.66) %                 33.37 %

Ratios to Average Net Assets
Total income (loss)                                 54.68 %              (54.88) %                 33.77 %
Management fees                                      0.45 %                 0.45 %                  0.45 %
Total expenses excluding
management fees                                      0.36 %                 0.38 %                  0.34 %
Net income (loss)                                   53.87 %              (55.71) %                 32.97 %

*On April 28, 2020, there was a 1-for-8 reverse share split. The Financial Highlights have been adjusted for the periods shown to reflect the 1-for-8 reverse share split on a retroactive basis.

Total returns are calculated based on the change in value during the period. An
individual shareholder's total return and ratio may vary from the above total
returns and ratios based on the timing of contributions to and withdrawals from
USO.

NOTE 7 - QUARTERLY FINANCIAL DATA (Unaudited)

The following summarized (unaudited) quarterly financial information presents the results of operations and other data for the three-month periods ended March 31, June 30, September 30 and December 31, 2021 and 2020.

                                           First           Second            Third           Fourth
                                          Quarter          Quarter          Quarter         Quarter
                                           2021             2021             2021             2021
Total Income (Loss)                    $ 727,913,736    $ 661,006,102    $ 140,294,965    $ 97,012,862
Total Expenses                             6,444,629        6,768,609        5,628,576       5,111,607
Net Income (Loss)                      $ 721,469,107    $ 654,237,493    $ 134,666,389    $ 91,901,255
Net Income (Loss) per Share            $        7.33    $        9.47    $        2.78    $       1.53


                                             First              Second            Third           Fourth
                                            Quarter             Quarter          Quarter          Quarter
                                             2020*               2020              2020            2020
Total Income (Loss)                    $ (1,614,034,624)    $ (916,724,948)    $ 91,637,158    $ 562,237,243
Total Expenses                                 3,338,866         10,338,213       7,746,606        6,872,723
Net Income (Loss)                      $ (1,617,373,490)    $ (927,063,161)    $ 83,890,552    $ 555,364,520
Net Income (Loss) per Share            $         (68.33)    $        (5.92)

$ 0.47 $ 4.58

*On April 28, 2020, there was a 1-for-8 reverse share split. The unaudited Quarterly Financial data has been adjusted for the period shown to reflect the 1-for-8 reverse a share split on a retroactive basis.

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NOTE 8 - FAIR VALUE OF FINANCIAL INSTRUMENTS

USO values its investments in accordance with Accounting Standards Codification
820 - Fair Value Measurements and Disclosures ("ASC 820"). ASC 820 defines fair
value, establishes a framework for measuring fair value in generally accepted
accounting principles, and expands disclosures about fair value measurement. The
changes to past practice resulting from the application of ASC 820 relate to the
definition of fair value, the methods used to measure fair value, and the
expanded disclosures about fair value measurement. ASC 820 establishes a fair
value hierarchy that distinguishes between: (1) market participant assumptions
developed based on market data obtained from sources independent of USO
(observable inputs) and (2) USO's own assumptions about market participant
assumptions developed based on the best information available under the
circumstances (unobservable inputs). The three levels defined by the ASC 820
hierarchy are as follows:

Level I - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date.

Level II - Inputs other than quoted prices included within Level I that are
observable for the asset or liability, either directly or indirectly. Level II
assets include the following: quoted prices for similar assets or liabilities in
active markets, quoted prices for identical or similar assets or liabilities in
markets that are not active, inputs other than quoted prices that are observable
for the asset or liability, and inputs that are derived principally from or
corroborated by observable market data by correlation or other means
(market-corroborated inputs).

Level III - Unobservable pricing input at the measurement date for the asset or
liability. Unobservable inputs shall be used to measure fair value to the extent
that observable inputs are not available.

In some instances, the inputs used to measure fair value might fall within
different levels of the fair value hierarchy. The level in the fair value
hierarchy within which the fair value measurement in its entirety falls shall be
determined based on the lowest input level that is significant to the fair value
measurement in its entirety.

The following table summarizes the valuation of USO's securities at December 31, 2021 using the fair value hierarchy:

At December 31, 2021                            Total             Level I         Level II       Level III
Short-Term Investments                     $ 1,544,534,000    $ 1,544,534,000    $         -    $          -
Exchange-Traded Futures Contracts
United States Contracts                        114,437,224        114,437,224              -               -

The following table summarizes the valuation of USO's securities at December 31, 2020 using the fair value hierarchy:

At December 31, 2020                            Total           Level I         Level II       Level III
Short-Term Investments                      $ 418,534,000    $ 418,534,000    $          -    $          -
Exchange-Traded Futures Contracts
United States Contracts                       401,443,958      401,443,958               -               -


Effective January 1, 2009, USO adopted the provisions of Accounting Standards
Codification 815 - Derivatives and Hedging, which require presentation of
qualitative disclosures about objectives and strategies for using derivatives,
quantitative disclosures about fair value amounts and gains and losses on
derivatives.

Fair Value of Derivative Instruments

                                           Statements of           Fair Value            Fair Value
                                              Financial         at December 31,       at December 31,
Derivatives not Accounted for as
Hedging Instruments                      Condition Location           2021                  2020
Futures - Commodity Contracts                  Assets          $      114,437,224    $      401,443,958


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The Effect of Derivative Instruments on the Statements of Operations

                                            For the year ended                       For the year ended                       For the year ended
                                             December 31, 2021                        December 31, 2020                       December 31, 2019
                                                           Change in                                Change in                               Change in
                  Location of          Realized           Unrealized            Realized            Unrealized           Realized           Unrealized
Derivatives
not               Gain (Loss)        gain (Loss)        Gain (Loss) on         Gain (Loss)        Gain (Loss) on       Gain (Loss)        Gain (Loss) on
Accounted for    on Derivatives     on Derivatives        Derivatives        in Derivatives        Derivatives        in Derivatives       Derivatives
as Hedging       Recognized in      Recognized in        Recognized in        Recognized in       Recognized in       Recognized in       Recognized in
Instruments          Income             Income              Income               Income               Income              Income              Income
                 Realized gain
Futures -        (loss) on
Commodity        closed
Contracts        positions         $  1,911,763,583                         $ (2,251,576,260)                        $    220,179,889

                 Change in
                 unrealized
                 gain (loss) on
                 open positions                        $   (287,006,734)                         $    363,923,391                        $    231,913,525

NOTE 9 - RECENT ACCOUNTING PRONOUNCEMENTS

In August 2018, the FASB issued Accounting Standards Update ("ASU") No. 2018-13,
which changes certain fair value measurement disclosure requirements. The new
ASU, in addition to other modifications and additions, removes the requirement
to disclose the amount and reasons for transfers between Level 1 and Level 2 of
the fair value hierarchy, and USO's policy for the timing of transfers between
levels. The amendments are effective for financial statements issued for fiscal
years beginning after December 15, 2019, and interim periods within those fiscal
years. USO has evaluated the implications of certain provisions of the ASU and
has determined that there will be no material impacts to the financial
statements.

NOTE 10 - SUBSEQUENT EVENTS

USO has performed an evaluation of subsequent events through the date the financial statements were issued. This evaluation did not result in any subsequent events that necessitated disclosures and/or adjustments.

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