IEA to Offer 60 Million Barrels

The IEA Governing Board, after reviewing its initial collective response action on September 2 to disrupted oil supplies in the wake of Hurricane Katrina, has decided to maintain its action of making available to the market 60 million barrels of oil and oil products for a period of thirty days, according to a statement by Claude Mandil, IEA Executive Director. After the meeting of the IEA Governing Board The representatives of the 26 member countries reaffirmed their commitment to fully implement the coordinated emergency response decision and confirmed the market based approach as the most effective mechanism. The Governing Board was briefed by the United States, the IEA Standing Group on Emergency Questions, the IEA Secretariat and oil market experts, who welcomed the IEA’s emergency response as timely and appropriate. Oil and refined product began flowing immediately and will continue into October. The IEA will further assess its collective action as additional market information becomes available on the pace of recovery and adequacy of supplies to the market. The next evaluation will take place end September or early October. The IEA and its member countries will continue their communications with oil producing nations and the OPEC Secretariat.