Birol: Energy markets at ‘extremely critical period’

Fatih Birol, Executive Director of the IEA

Fatih Birol, Executive Director of the International Energy Agency (IEA), said Thursday that global energy markets are at an "extremely critical period," and noted the agency’s decision to release 400 million barrels from strategic reserves strongly impacted markets.

Speaking at a press conference in Istanbul, Birol said the decision was a direct response to the closure of the Strait of Hormuz, the world’s most important oil shipping route, creating uncertainty over energy security for consuming nations, according to Reuters.

The agency’s recommendation, which involves member countries that are major oil consumers, called for the release of 400 million barrels from global strategic reserves, the largest intervention of its kind in history, in a move aimed at easing one of the worst oil price shocks since the 1970s.