The IEA confirmed today that around 100mn bl of oil remains to be released from the emergency stocks pledged by its members in March, matching the volume announced by G7 leaders last week. But there is still no breakdown of which countries will supply the stocks or how much diesel will be released.
IEA member governments today supported accelerating the outstanding releases "with a view to completing them as soon as possible". They also backed prioritising diesel stocks "to the extent possible" given current tightness in diesel markets.
Around 325mn bl has already been released under the March collective action, with some countries releasing more than they initially pledged, the IEA said. Releasing all stocks pledged but not yet delivered would bring approximately another 100mn bl to the market, it added.
The figures appear to confirm that the 100mn bl release announced by the G7 on 2 October represents the outstanding portion of the March programme rather than an additional commitment. The IEA initially announced a 400mn bl collective action in March and subsequently put members' planned contributions at 426mn bl.
The G7 said the co-ordinated release through the IEA would begin immediately and take place over four months. It would include a "substantial" diesel release within the first 20 days by G7 members and partners.
But neither the G7 nor the IEA has provided a country-level breakdown, specified how the 100mn bl will be divided between crude and refined products or quantified the diesel component.
Trading firm Vitol's chief executive Russell Hardy said at the Energy Intelligence Forum on 6 October that the G7 announcement had not been "fully transparent" about what would be released and where.
Hardy said some diesel would come from government-held stocks in the Netherlands, France and Germany and would provide some relief to the market. Tenders expected from national stockholding bodies over the next two weeks should reveal the volumes and locations, he said.
The IEA said its members retain around 1.1bn bl of publicly held emergency oil stocks, including more than 200mn bl of diesel. The agency said it stands ready to release further stocks if required. Member governments will review the situation at the next scheduled meeting of the IEA governing board next week.
