Members of the International Energy Agency (IEA) agreed to release 400 million barrels of oil, the largest withdrawal on record.
The 32 member countries unanimously agreed to open the 400 million barrels in order to “address disruptions in oil markets stemming from the war in the Middle East,” the IEA said. The decision comes as IEA members have more than 1.2 billion barrels in emergency stockpiles, with another 600 million barrels of industry stocks under government requirements.
The IEA further explained that the stock release is the sixth in its history, with other actions having taken place in 1991, 2005, 2011, and twice in 2022.
“The oil market challenges we are facing are unprecedented in scale, therefore I am very glad that IEA Member countries have responded with an emergency collective action of unprecedented size,” IEA Executive Director Fatih Birol said in a statement. “Oil markets are global so the response to major disruptions needs to be global too. Energy security is the founding mandate of the IEA, and I am pleased that IEA Members are showing strong solidarity in taking decisive action together.”
The Strait of Hormuz, a narrow channel between Iran and Oman, handles roughly one-fifth of the world’s crude oil and liquefied natural gas exports, American Faith reported.
Meanwhile, Iran has sent at least 11.7 million barrels of crude oil through the Strait of Hormuz since February 28, all of which were heading to China, according to CNBC. A firm monitoring vessel movements through satellite imagery shared the details.
