G7 signals strategic oil reserve use over Middle East tensions

Energy ministers from the G7 have signaled that they are “ready to take all necessary measures” in coordination with the International Energy Agency (IEA) to address rising crude oil prices stemming from the ongoing conflict in the Middle East.

Following a virtual meeting with IEA Executive Director, the ministers said in a statement that “G7 members will carefully consider the recommendations issued during these discussions,” Al Jazeera reports.

“In principle, we support the implementation of proactive measures to address the situation, including the use of strategic reserves,” the statement said. “We agreed to stand ready to take all necessary measures in coordination with IEA Members.”

IEA member countries currently maintain more than 1.2 billion barrels of public emergency oil stocks, with an additional 600 million barrels of industry stocks held under government mandates.

The Paris-based IEA was established to coordinate responses to major supply disruptions following the 1973 oil crisis, providing a framework for member countries to stabilize global energy markets in times of crisis.

By Vafa Guliyeva