IEA releases 400 million barrels of strategic oil reserves amid Hormuz crisis

2026-03-12 - 11:22

The International Energy Agency announced Thursday that its member nations have agreed to release 400 million barrels of oil from strategic reserves in a coordinated effort to stabilize global energy markets disrupted by the escalating Middle East conflict. IEA Executive Director Fatih Birol confirmed the move represents the largest such release in the agency's history since its founding in 1974. UK confirms 13.5 million barrel contribution The UK Department for Energy Security and Net Zero announced its support for the coordinated release, confirming Britain will contribute 13.5 million barrels from its total emergency oil stockpile of 76.6 million barrels. Energy Secretary Ed Miliband stated the measure demonstrates that "the UK is doing its part alongside international allies" to address market disruptions. The department emphasized that ensuring safe passage for tankers through the Strait of Hormuz remains vital for any long-term solution. Sixth coordinated release in IEA history Thursday's decision marks only the sixth time in IEA history that member countries have coordinated emergency stock releases. Previous actions occurred in 1991, 2005, 2011, and twice in 2022 following Russia's invasion of Ukraine. IEA members are required to maintain emergency oil stocks equivalent to 90 days of net imports, held to help meet demand and keep the global economy functioning during serious supply disruptions. Massive reserves available Beyond the 400 million barrels being released, IEA members currently hold more than 1.2 billion barrels in emergency government stocks, with an additional 600 million barrels of industry stocks held under government obligation. These reserves are typically stored at facilities operated by major suppliers including refineries and oil importers. The release comes as the Strait of Hormuz closure has brought approximately 20 million barrels of daily oil and petroleum product shipments to a standstill following Iranian retaliatory strikes on commercial vessels, deepening supply concerns and causing severe price volatility in global markets.