Canada and 31 other nations have agreed to release 400 million barrels of oil from strategic reserves, a move by the International Energy Agency (IEA) to stabilize global markets amid the ongoing Iran war.
The coordinated stock release is the sixth in the IEA's history since 1974. IEA executive director Fatih Birol stated the action is "unprecedented in size" and reflects "strong solidarity" among member nations to address major oil market disruptions.
The conflict has severely impacted oil flows through the Strait of Hormuz, a critical shipping route for 20-25% of global oil supply. Export volumes are now at less than 10% of pre-conflict levels, forcing production curtailments.
This action follows warnings that oil prices could reach $200 per barrel. Oil prices had surged to nearly $120 a barrel before cooling slightly, still significantly up from pre-conflict levels.