EU Weighs 50 Million-Barrel Diesel Reserve Release With IEA as Pump Prices Hit Record Highs
Updated
Updated · Euronews · Oct 2
EU Weighs 50 Million-Barrel Diesel Reserve Release With IEA as Pump Prices Hit Record Highs
3 articles · Updated · Euronews · Oct 2
Summary
Brussels said it is ready to coordinate with the IEA on a fresh emergency diesel release, with France floating 50 million barrels of diesel plus 50 million barrels of crude from strategic stocks.
50 million barrels would equal roughly twice the EU and UK’s 24.25 million barrels of September diesel imports, and analysts say a major release could cut wholesale prices by $20-$30 a barrel.
€0.10-€0.15 a litre could come off pump prices within days to two weeks, but analysts say the effect would be temporary because global diesel supply still trails demand.
Russian refinery disruptions, Middle East export losses and European refineries already running near capacity have left the region dependent on imports and vulnerable to any U.S. diesel export ban.
The move would follow the IEA’s March agreement to make 400 million barrels available, though rebuilding depleted reserves would take time and lasting relief depends on easing the U.S.-Iran conflict.