LONDON(National Times)- The war in the Middle East is creating the biggest \u200coil supply disruption in the history of the global market, the International Energy Agency said on Thursday,\u00a0\u2060a day after the\u00a0agency\u00a0agreed to release\u00a0a\u00a0record volume of oil from strategic stockpiles. Middle East Gulf countries have cut total oil production by at least 10 \u200cmillion bpd \u2013 a volume equal to almost 10% of world demand \u2013 as a result of the conflict, the agency said in\u00a0its\u00a0latest monthly oil\u00a0market\u00a0report. Without a rapid restart of shipping flows, these\u00a0losses\u00a0are set\u00a0to\u00a0increase, IEA said.<\/p>\n\n\n\n
\u2018Oil reserve release had strong impact on markets\u2019<\/strong><\/p>\n\n\n\n The IEA’s decision to release 400 million barrels of oil from global strategic reserves has already had a “strong impact” on energy markets, \u200cwhich are in an “extremely critical period” after the closure of the Strait of Hormuz, its Executive Director Fatih Birol said on Thursday. The IEA’s coordinated move in the face of the Iran war was aimed to stabilise oil markets, Birol said at an Istanbul press conference. He declined to respond to a question on the daily pace of release from stockpiles. The IEA, made up of major oil consuming nations, on Wednesday recommended releasing 400 million barrels from global strategic reserves to dampen one \u200bof the worst oil shocks since the 1970s, the \u200bbiggest such intervention in history. The proposed release is larger than the 182 million barrels of oil that IEA member countries released in 2022 after Russia launched its full-scale invasion of Ukraine. “We are already seeing a strong impact from \u200cthis move,” Birol said, calling the IEA decision “an extremely significant development”. “Global energy markets are going through an extremely critical period due to developments in the Middle East. In particular, the closure of the Strait of Hormuz has caused serious disruptions in global oil and natural gas markets,” he said, adding the\u00a0decision\u00a0was made in response to this. US President Donald Trump said the IEA decision will “substantially” reduce oil prices amid the US-Israel war with Iran, while Tehran warned that oil could reach $200\u00a0a\u00a0barrel after striking tankers in\u00a0Iraqi\u00a0waters and other ships near the vital Strait of Hormuz.<\/p>\n","protected":false},"excerpt":{"rendered":" LONDON(National Times)- The war in the Middle East is creating the biggest \u200coil supply disruption in the history of the global market, the International Energy Agency said on Thursday,\u00a0\u2060a day after the\u00a0agency\u00a0agreed to release\u00a0a\u00a0record volume of oil from strategic stockpiles. Middle East Gulf countries have cut total oil production by at least 10 \u200cmillion bpd […]<\/p>\n","protected":false},"author":2,"featured_media":122369,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-122368","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-international","entry"],"yoast_head":"\n