G7 Unveils Plan to Release 100 Million Barrels of Oil and Fuel Products

The Group of Seven (G7) wealthy democracies has announced a plan to release 100 million barrels of oil and fuel products in the coming weeks, aiming to stabilize prices that have soared due to global conflicts. The move comes after President Donald Trump said on social media that the US would immediately start releasing substantial amounts of diesel fuel.

The G7 statement follows a March announcement by International Energy Agency (IEA) member countries to release 426 million barrels of oil and products, with European Union countries committing about 92 million barrels. The recent decision is seen as a response to record-high prices in the US and Europe, particularly for diesel fuel.

According to Michael Lynch, distinguished fellow at Energy Policy Research Foundation, the release could lower prices by 25-50 cents per gallon in the US after a few weeks. However, Jim Krane, energy research fellow at Rice University's Baker Institute, warned that draining stocks could reduce emergency cover and leave Europe with less strategic reserve capacity.

The G7 countries, Canada, France, Germany, Italy, Japan, the UK, and the US, plus EU representation, agreed not to limit energy exports to each other. The move is seen as a short-term fix to address surging prices ahead of the November 3 midterm elections in the US.