Emergency Oil Releases Risk Draining the World’s Last Supply Cushion

AI Summary

The International Energy Agency and G7 plan a further release of 100 million barrels of diesel, gasoline, and crude oil as part of a broader response to disruptions around the Strait of Hormuz. The article warns that emergency drawdowns are depleting storage and could leave global oil supplies with less of a buffer.

Earlier this week, the International Energy Agency, after consulting with G7, said it would release another 100 million barrels of diesel, gasoline, and crude oil. The release is part of a plan announced in March to release 400 million barrels of oil in response to the Hormuz squeeze. But there is a problem with those releases—storage is emptying. When the U.S. administration began releasing oil from the Strategic Petroleum Reserve, a flurry of reports followed, citing experts who warned the level of oil in the SPR was already low enough…