IEA May Release More Strategic Oil Reserves as Brent Crude Hits New High

The International Energy Agency (IEA) may be forced to release more strategic oil reserves if Brent crude stays elevated above $100 per barrel, according to Senior Oil Market Analyst at Sparta Commodities June Goh.

Goh told ANI that the IEA had not yet exhausted its previously announced emergency release of 400 million barrels and suggested that sustained higher prices could prompt another coordinated intervention. The first batch of emergency oil reserves was released in March this year, but there is still a significant portion to be allocated.

Goh indicated that several countries within the IEA framework still have room to contribute additional strategic reserves if required, with Japan and Korea having 'a lot more' to spare. She also warned that disruptions to critical shipping routes could further tighten crude supplies and that oil prices had yet to fully account for ongoing supply-side risks.

At the time of reporting, Brent crude was trading at $96.78 per barrel, with Goh suggesting that sustained prices above $95 per barrel could trigger another coordinated release by member countries. The IEA's earlier announcement on releasing strategic petroleum reserves still has a significant portion to be released, and higher oil prices could prompt another intervention.