The International Energy Agency (IEA) is in talks with member countries on releasing more stockpiled oil in response to the supply crisis driven by the conflict in the Middle East, IEA Executive Director Fatih Birol said on Monday.
Addressing the National Press Club, Birol said he has been in contact with international colleagues on a daily basis regarding a second oil release after the agency's member countries agreed in March to release 400 million barrels from strategic stockpiles.
On a potential second release, he said the IEA would take action if needed, but warned that it would not solve the supply shortfall.
The executive director said the current global energy situation is "extremely severe" due to the conflict in the Middle East, adding that the crisis exceeds the combined impact of the two 1970s oil shocks.
Birol is set to meet with Australian Prime Minister Anthony Albanese while in Canberra and said the two would discuss the IEA's recommended steps for civilians to limit oil demand, such as using public transport where possible, working from home and reducing air travel.
In addition, Goldman Sachs recently warned that oil prices face upside risks both in the short term and through 2027 due to ongoing Middle East tensions and uncertainties over the reopening of the Strait of Hormuz, with prices potentially staying above 100 U.S. dollars per barrel.
IEA discussing further stockpiled oil releases: executive director
