International Energy Agency (IEA) agrees to historic emergency oil stock release to ease shortage of crude supplies

Thursday, March, 12 2026 - Member countries of the International Energy Agency (IEA) have agreed to release 400 million barrels of crude oil into the global market in what will be the largest emergency oil stock release in history. The move is intended to ease the shortage in crude supplies and help curb rising oil and gasoline prices triggered by escalating tensions in the Middle East.

IEA Executive Director Fatih Birol said the oil will be made available to the market to compensate for supply disruptions caused by the effective closure of the Strait of Hormuz, a critical shipping route for global energy supplies.

He explained that the decision is aimed at reducing the immediate shock to global energy markets, while emphasizing that long-term stability will depend on the resumption of oil and gas transit through the strategic waterway.

The 400 million barrels release is far larger than previous emergency actions. In 2022, countries released 182 million barrels after Russia launched its full-scale invasion of Ukraine. During that period, the United States also released an additional 180 million barrels from its Strategic Petroleum Reserve over six months.

Despite the scale of the latest release, analysts say it may not fully offset the massive supply disruption caused by the near shutdown of the Strait of Hormuz. The waterway normally handles about one-fifth of global oil shipments, but tanker traffic has been severely restricted due to safety concerns.

According to the IEA, the disruption is currently preventing about 15 million barrels of crude oil and another 5 million barrels of refined petroleum products from reaching global markets each day. At that rate, the newly released reserves could be absorbed in less than a month.

Energy analysts warn that the measure alone may not be enough to stabilize oil prices. Amrita Sen, founder of market intelligence firm Energy Aspects, said the release may still fall short of compensating for the lost supply.

Oil prices have remained volatile. Brent crude, the global benchmark, rose about 4% to roughly $91 per barrel, while West Texas Intermediate (WTI), the U.S. benchmark, climbed to around $87 per barrel.

The impact on consumer fuel prices may also be limited. An earlier release of U.S. and international reserves in 2022 reduced gasoline prices in the United States by only about 17 to 42 cents per gallon, according to estimates from the United States Department of the Treasury.

Since the United States and Israel launched attacks on Iran on February 28, gasoline prices in the United States have increased by roughly 60 cents per gallon, reaching an average of $3.58, according to the American Automobile Association.

Market analysts say the release of reserves can only provide temporary relief. Francesco Pesole, a strategist at ING, said that sustained price stability will depend largely on military de-escalation in the region.

Concerns have also grown after reports that Iran has begun laying naval mines in the Strait of Hormuz. Intelligence sources say the country may possess up to 6,000 mines capable of threatening shipping in the area.

Ben Emons, chief investment officer at FedWatch Advisors, said the development has intensified the crisis and strengthened Iran’s control over the strategic route.

Oil prices have been highly volatile in recent days. On Monday, both Brent crude and West Texas Intermediate surged above $100 per barrel for the first time in nearly four years before dropping sharply the following day.

The decline followed comments from Donald Trump suggesting the conflict could end soon, along with an announcement by Saudi Aramco that it would increase crude shipments through its pipeline to the Red Sea port of Yanbu, restoring about 70% of its normal export capacity.

However, tensions continued to rise as Iran announced it had launched one of its most intense military operations since the conflict began, while Israel confirmed additional airstrikes targeting the Iranian capital, Tehran.

Meanwhile, the United Kingdom Maritime Trade Operations reported that three vessels were struck by unidentified projectiles near the Strait of Hormuz, further heightening fears about the safety of global shipping routes.