IEA Chief Voices Readiness To Release More Oil Reserves

International Energy Agency (IEA) Executive Director Fatih Birol has expressed hope that further releases of oil reserves would not be necessary, while simultaneously affirming the agency’s readiness to act should the energy shock resulting from a war with Iran warrant it.

Speaking at an Atlantic Council event in Washington today, Birol added that the war has caused the worst global disruption to the energy sector ever, noting that more than 80 oil and gas facilities, including production plants, transportation terminals, and refineries, have been damaged as a result of the Iran war.

Birol’s remarks come a week after the IEA predicted that April would be even more challenging than March, which saw severe disruptions to energy supplies due to the US-Israeli-Iranian conflict.

Birol said the world is on the verge of a “Black April,” warning that continued closure of the Strait of Hormuz this month would double losses in crude oil and refined product prices compared to the previous month.

The outlook reflects the scale of the challenges facing global markets, especially given the reliance of many major economies on energy supplies from the Gulf region.

The outlook reflects the scale of challenges facing global markets, particularly for economies heavily dependent on Gulf energy exports.

 Supply chain disruptions, rising insurance costs for shipments, and heightened geopolitical risks are already placing upward pressure on prices and complicating trade flows.

Despite the uncertainty, Birol stressed that coordinated international action remains critical to stabilising markets. He noted that the IEA and its member countries stand prepared to deploy strategic reserves, enhance energy efficiency measures, and accelerate diversification efforts to mitigate the impact of ongoing disruptions.