G7 to release up to 100 million barrels of oil from reserves
Why in the news
On 2 October 2026 the G7 countries agreed to release up to 100 million barrels of oil and diesel from their strategic reserves to bring down soaring fuel prices linked to the Iran conflict.
Key facts
- Quantity: Up to 100 million barrels of oil and diesel.
- Period: Spread over four months.
- Coordinator: The International Energy Agency (IEA).
- Announcement: Made by French President Emmanuel Macron at a G7 presidency briefing.
- Focus on diesel: Europe faces a diesel squeeze due to the conflict and refinery shortages; US President Donald Trump had threatened a diesel-export ban if Europe did not act.
- Market reaction: European diesel prices and Brent crude futures fell after the news.
- The new release may include volumes not yet delivered from the March plan.
| Release | When | Size |
|---|---|---|
| IEA collective action | March 2026 | 400 million barrels |
| G7 release | October 2026 | Up to 100 million barrels over four months |
About the IEA
The International Energy Agency coordinates emergency oil-stock releases among its members. In March 2026, after the Iran war disrupted shipping through the Strait of Hormuz, 32 IEA member countries unanimously backed a 400 million-barrel release, the largest in its history.
Exam angle
- Strategic petroleum reserves are a tool to manage supply shocks.
- The IEA, not OPEC, coordinates emergency stock releases by consumer countries.
- Higher crude and diesel prices affect India’s import bill and inflation.