• 4 minutes WTI Heading for $60
  • 6 minutes OPEC Builds Case For Oil Supply Cut
  • 15 minutes Major News---Bigger Picture
  • 16 mins Your idea of oil/gas prices next ten years
  • 4 hours Plastic Myth-Busters
  • 8 hours Good Sign for US Farmers: Soybean Prices Signals US-China Trade Deal Progress
  • 20 hours Starbucks slashing its corporate workforce
  • 4 hours Could EVs Become Cheaper than ICE Cars by 2023?
  • 8 hours Here We Go Again: EU Will Hit Back If U.S. Imposes Car Tariffs
  • 2 hours what's up with NG?
  • 2 hours Is California becoming a National Security Risk to the U.S.?
  • 1 hour A Sane Take on Nord Stream 2
  • 4 hours Soybean sale to China down 94%
  • 23 hours Zohr Giant Gas Field Increases Production Six-Fold
  • 19 hours Pros and Cons of Coal
  • 20 hours WTI @ 69.33 headed for $70s - $80s end of August

Breaking News:

Crude Build Halts Oil Price Recovery

IEA Conducts Widest-Ever Oil Emergency Response Exercise

Refinery

The International Energy Agency (IEA) said on Monday that it had carried out the broadest ever emergency response exercise, with countries representing around 70 percent of global oil demand taking part in the exercise, compared to just 46 percent if the response plan drill had been limited only to IEA members.   

As many as 44 countries took part in the emergency response exercise (ERE) between February 5 and 9, 2018, whose purpose was to simulate how the IEA coordinates the release of emergency oil stockpiles in the event of an oil supply disruption.

This year’s exercise featured all 29 IEA member countries; IEA Accession countries Chile and Mexico; Association countries China, India, Indonesia, Morocco, and Thailand; and via the European Commission, the eight EU countries that are not members of the IEA.

The 44 participating countries that represent some 70 percent of global oil demand tested communication within and between participating countries and the IEA Secretariat under time pressure, as well as the emergency data reporting capabilities of participating countries. After being briefed on the IEA emergency response procedures during an oil supply crisis, participants worked to develop strategies to respond to a realistic, hypothetical supply disruption scenario.

Related: Utility Sues Nuclear Energy Institute For Extortion

In accordance with the Agreement on an International Energy Programme (I.E.P.), each IEA member is obliged to hold emergency oil stocks equivalent to at least 90 days of net oil imports. In case of a severe oil supply disruption, IEA members may decide to release these stocks to the market as part of a collective action.

Since the IEA was created in 1974 in the wake of the 1973 oil crisis, there have been three collective actions in emergency responses. The first was in the buildup to the Gulf War in 1991; the second was after Hurricanes Katrina and Rita damaged offshore oil rigs, pipelines, and oil refineries in the Gulf of Mexico in 2005; and the third was in response to the prolonged disruption of oil supply caused by the civil war in Libya in 2011.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • Bill Simpson on February 13 2018 said:
    They are getting ready for the spread of the war in Syria. It is only a matter of time. I give it less than 2 years.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News