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Executive Director of the International Energy Agency (IEA), Fatih Birol, warned of an accelerating deterioration in global commercial oil inventories, emphasizing that they are only sufficient to last for a few weeks. 
This decline comes amid ongoing geopolitical tensions stemming from the Iranian war and the closure of the Strait of Hormuz, a critical chokepoint for maritime shipping and global energy supplies, Reuters reported Birol as saying.
Speaking at the G7 meeting held in Paris, Birol explained that releasing strategic petroleum reserves successfully injected roughly 2.5 million barrels per day into global markets to offset the acute shortage. However, he stressed that these strategic stockpiles are finite and “will not last forever.”
Analyzing current market realities, the IEA chief pointed out a clear disconnect between the physical oil market—which is experiencing real supply tightness—and futures markets, which may not accurately reflect the severity and depth of the current crisis.
Logo ofInternational Energy Agency (IEA)
Executive Director of the International Energy Agency (IEA), Fatih Birol, warned of an accelerating deterioration in global commercial oil inventories, emphasizing that they are only sufficient to last for a few weeks.
This decline comes amid ongoing geopolitical tensions stemming from the Iranian war and the closure of the Strait of Hormuz, a critical chokepoint for maritime shipping and global energy supplies, Reuters reported Birol as saying.
Speaking at the G7 meeting held in Paris, Birol explained that releasing strategic petroleum reserves successfully injected roughly 2.5 million barrels per day into global markets to offset the acute shortage. However, he stressed that these strategic stockpiles are finite and “will not last forever.”
Analyzing current market realities, the IEA chief pointed out a clear disconnect between the physical oil market—which is experiencing real supply tightness—and futures markets, which may not accurately reflect the severity and depth of the current crisis.
