Europe to Release 42.6 Million Barrels of Oil Reserves
Twelve European countries will release 42.6 million barrels of oil from their strategic reserves by the end of January 2027, under a joint declaration made public on Thursday, 29 October, at the EU Energy Council in Luxembourg. The volume includes 20.5 million barrels of diesel.
The countries are France, Belgium, Denmark, Germany, Greece, Italy, Latvia, Lithuania, Luxembourg, the Netherlands, Portugal and Sweden. The declaration forms part of the International Energy Agency’s collective action launched in March 2026, and follows the decision by G7 members on 2 October to release up to 100 million barrels of diesel and crude oil. It is an acceleration of an existing commitment, rather than a new round of stockpile draws on top of it.
Diesel in focus before winter
France’s Economy Minister Roland Lescure said Europe would release the oil over the next three months, with half of it diesel, as governments try to bring down fuel prices before winter. France’s own share includes 10 million barrels of diesel, which Lescure said would reach the market in the coming days, supplied at cost price.
Lescure estimated the move could lower prices by 12 to 18 cents a litre, with effects felt as early as next week. That price effect is his forecast, not a guaranteed cut: ministers at the Luxembourg meeting announced no guaranteed reduction in pump prices, and EU Energy Commissioner Dan Jørgensen cautioned that governments did not have a simple way to make price rises disappear.
A costly winter for households
The release comes as the wars in Iran, Ukraine and Yemen send oil and natural gas prices soaring. EU energy ministers discussed how to cut household energy bills and bolster security of supply ahead of the winter heating season. Jørgensen said nearly 50 million Europeans cannot adequately heat their homes, and warned that number could rise.
Progress on the reserve release will be reviewed at the December Energy Council, with the Commission asked to monitor stocks through the Oil Coordination Group.
Sources: Agence Europe; Rigzone (Bloomberg).
