On March 11, the International Energy Agency (IEA) announced its decision to release a record 400 million barrels of oil from strategic reserves, which accounts for one third of the total reserves. This news was reported by The Guardian.
This decision was unanimously supported by all 32 members of the agency. The IEA aims to mitigate the negative impacts on the oil market caused by the conflict between the U.S. and Israel with Iran, as well as the closure of the Strait of Hormuz, a crucial route for oil transportation that accounts for a quarter of global supplies.
The Japanese authorities reported that starting March 18, they plan to release about 80 million barrels from their oil reserves, both state and private. Germany also confirmed that as part of the IEA's decision, it will release 19.51 million barrels of crude oil.
Energy ministers from the G7 countries expressed support for the use of strategic oil reserves under these conditions. For his part, U.S. Energy Secretary Chris Wright announced the release of 172 million barrels from the country's strategic reserve. He noted that "President Trump has authorized the Department of Energy to release 172 million barrels from the strategic oil reserve," and that deliveries will begin next week, continuing for about 120 days.
The minister also added that over the next year, 200 million barrels are planned to be purchased, which exceeds the amount being released by 20%. Previously, the IEA implemented similar measures in 2022, when 182 million barrels were released in response to the onset of Russian aggression in Ukraine.
To date, the global market is losing about 15 million barrels per day due to the blockade of trade through the Strait of Hormuz.
