Oil stocks to be released faster, with diesel prioritized for the market

The 32 member states of the International Energy Agency are accelerating the release of strategic oil reserves, with a specific emphasis on prioritizing diesel supplies. This decision follows an earlier agreement reached in the spring to release approximately 412 million barrels of oil, which stands as the largest emergency intervention in the agency's history. To date, 325 million barrels have already been made available to stabilize global markets.

The move aims to counteract rising energy prices caused by supply chain disruptions, including the closure of the Strait of Hormuz and the ongoing conflict between Russia and Ukraine. Current market conditions have seen Brent crude oil prices hover around 100 dollars per barrel, significantly higher than the 60 to 70 dollar range observed earlier this year. In addition to the IEA's efforts, G7 nations have pledged to contribute another 100 million barrels of oil to the market. The IEA maintains that it still holds 1.1 billion barrels in reserve and is prepared to release further supplies if necessary.