Khaberni - The International Energy Agency said on Thursday that the ongoing war in the Middle East is causing the greatest disruption in oil supplies in the history of the global market, following its decision to withdraw a record quantity from strategic reserves.
The agency explained in its latest monthly oil market report that Gulf countries reduced their total oil production by at least ten million barrels a day, equivalent to about 10% of global demand, due to the conflict.
The agency added that these losses will worsen if shipping movements are not resumed quickly.
The International Energy Agency agreed to withdraw 400 million barrels of oil, a record amount, to help curb prices that have risen due to supply shocks caused by the American-Israeli war on Iran. The United States is contributing the largest portion of these quantities by withdrawing 172 million barrels from the Strategic Petroleum Reserve.
The director of the International Energy Agency stated that oil markets are undergoing a critical transformation amid the Iranian war.
Oil prices rose on Thursday as Iran intensified its attacks on oil facilities and tankers in the Middle East, which heightened concerns about the duration of the conflict as well as the disruption of crude flows through the Strait of Hormuz.
As of 07:33 GMT, Brent crude futures rose $4.47 or 4.86% to $96.45 a barrel after exceeding one hundred dollars a barrel earlier in the trading session, while West Texas Intermediate crude rose $4.05 or 4.64% to $91.30 a barrel.
Brent reached $119.50 a barrel on Monday, the highest level since mid-2022, then fell after President Donald Trump said that the war with Iran could end quickly.
Since Saturday, February 28, Israel and the United States have been conducting airstrikes on Iran, which led to the death of Supreme Leader Ali Khamenei. Since then, Tehran has responded by striking Israel and countries in the region with missiles and drones.
