The International Energy Agency (IEA) announced on Wednesday (local time) that it will release 400 million barrels of oil from its emergency stockpile to the market to address disruptions to global energy markets resulting from the war in the Middle East.
The 32-member organization said the decision to take this extraordinary action was taken after a recent emergency meeting. The meeting, called by IEA Executive Director Fatih Birol, was to review market conditions amid the ongoing conflict in the Middle East and consider available options to address concerns about supply disruptions.
Birol said: “The oil market challenges we are facing are of an unprecedented scale. I am very pleased that IEA member countries have responded with emergency collective action of an unprecedented scale.”
He noted that since oil markets are global, the response to major disruptions should also be global. “Energy security is the founding mandate of the IEA and I am glad that IEA members show strong solidarity in joint decision-making,” said Birol.
Watch: Energy Crisis? G7 considers emergency oil release as prices explode amid Iran war: Report
When will emergency supplies be available?
According to the IEA report, the emergency stockpile will be made available to the market based on timetables determined by the circumstances of each member country, with some countries implementing additional emergency measures.
Further details on how this “collective action” will be implemented will be communicated by the IEA Secretariat. It will also continue to closely monitor global oil and gas markets and provide recommendations to member governments as needed.
How much is the IEA emergency stockpile?
IEA member countries hold emergency reserves of more than 1.2 billion barrels and another 600 million barrels of industrial stocks held on the basis of government commitments. The emergency stock release is the sixth incident so far in the history of the IEA, which was established in 1974. It previously released emergency stocks in 1991, 2005, 2011 and twice in 2022.
G7 agrees to take ‘necessary measures’
Earlier on Monday, the BBC reported that G7 member countries were ready to take the “necessary measures” to support global energy supplies. The meeting came after the US-Israeli war in Iran sent oil prices to nearly $120 a barrel and spooked traders.
The US-Israeli-Iran war is intensifying
The development comes as the US-Israeli war in Iran entered its 12th day on Wednesday with no signs of abating. Tensions in the region have drastically escalated, with many Middle Eastern countries bearing the brunt of the war after Tehran launched retaliatory strikes targeting Israel and US bases in the Persian Gulf region. In addition, Iran’s Islamic Revolutionary Guard Corps (IRGC) announced the closure of the Strait of Hormuz, a key corridor through which nearly one-fifth of the world’s oil is delivered.
In 2025, about 20 million barrels of oil and petroleum products per day moved through the Strait of Hormuz, representing about a quarter of global seaborne oil trade. However, there are very few alternative routes for shipments to bypass the strait.
Amid ongoing conflict, export volumes of crude and refined products are below 10% of pre-conflict levels. This is now forcing operators across the region to either shut down or curtail substantial amounts of production, with several companies across continents invoking force majeure. This is a legal term that allows either party to avoid fulfilling their obligations without being penalized in the event of an unexpected event.
