IEA members in Asia-Pacific region to release emergency oil reserves

Paris — The International Energy Agency (IEA) announced on Sunday, 15 March, that oil from the emergency reserves of its member countries in Asia and Oceania will be released imminently to help stabilise global markets.

According to the IEA statement, oil from the agency’s emergency reserves will soon begin flowing into global markets. Member countries have submitted their respective implementation plans detailing the release schedule.

Reserves held by member countries in the Americas and Europe will become available from late March.

The IEA stated that its 32 member countries unanimously agreed on 11 March to release 400 million barrels of oil in response to supply disruptions caused by Middle Eastern conflict. Of this total, 271.7 million barrels will come from government reserves, 116.6 million barrels from mandatory industry reserves, and 23.6 million barrels from other sources.

Seventy-two per cent of the release will be crude oil, with the remaining 28 per cent comprising refined petroleum products.

“The conflict raging in the Middle East has created the largest supply disruption in the history of the global oil market,” the IEA stated, adding that this coordinated release represents the largest collective emergency action to date and will be an important pillar supporting global oil supplies.

However, the agency noted that the restoration of normal shipping through the Strait of Hormuz remains the most crucial factor in stabilising the oil market.