The International Energy Agency on Wednesday said it would release 400 million barrels of oil from emergency reserves, the largest release in the multinational organization’s history.
The announcement comes as the Strait of Hormuz remains effectively closed because of the Iran War. Normally, roughly a fifth of the world’s oil supply flows through the critical waterway.
“On the face of it, a large release of strategic reserves from the IEA would help to bring prices down,” Hamad Hussein, climate and commodities economist with investment adviser Capital Economics, said in a note to clients. “Indeed, oil prices fell back below $100 [per barrel] this week following discussions that the IEA was considering releasing oil reserves.”
— This is a developing story. Check back for updates.
