G7 plans coordinated release of up to 100 million barrels amid oil surge
The Group of Seven says it will coordinate the release of up to 100 million barrels of oil and diesel from strategic reserves over four months as prices rise amid disruption fears linked to the conflict involving the United States, Israel and Iran. A substantial diesel release is planned within the first 20 days.
The Group of Seven has announced plans to release up to 100 million barrels of oil from strategic reserves as global prices rise amid fears that conflict involving the United States, Israel and Iran could disrupt crude exports and shipping routes in the Middle East. In a statement issued after a meeting chaired by French President Emmanuel Macron, the G7 said the release would be coordinated through the International Energy Agency over the next four months. The group said it would also include a substantial, front-loaded release of diesel during the first 20 days by G7 members and partners.
The G7 said it would meet through the IEA in the coming days to consider further diesel releases if necessary. The announcement followed a statement by US President Donald Trump that Europe had agreed to release large diesel stocks, according to Al Jazeera. The G7 comprises Canada, the United States, France, Germany, Italy, Japan and the United Kingdom, with the European Union participating in the grouping.
European officials have previously expressed reservations about calls to release diesel reserves, while the EU rejected a threat by Mr Trump to ban US diesel exports if European countries did not act. Oil prices have been trading at about $104 to $108 a barrel as supply concerns persist. The conflict, which the source material says began on February 28, has also raised concerns over shipping through the Strait of Hormuz.
The energy pressure is affecting Nigeria, where higher international crude and refined-product prices have coincided with increases in petrol, diesel and aviation fuel prices. Petrol prices in parts of the country have approached N1,500 a litre, compared with N1,200 to N1,300 earlier, adding pressure to transport, food and household costs. The source material says the Nigerian government continues to introduce compressed natural gas buses and other measures, but sustained fuel-price increases remain a challenge for businesses and consumers.
This independently written report is based on information supplied by the named publisher. Vertrix News has not independently verified the source report.