Contributions of IEA Member Countries to the Hurricane Katrina Oil Supply Disruption
(Paris) — 7 September 2005
IEA Executive Director Claude Mandil announced today the initial composition of the IEAs collective action to make available crude oil and products in response to supply disruptions caused by Hurricane Katrina. In an act of solidarity, all 26 IEA member countries, in cooperation with the EU, agreed on 2nd September to offer an additional 60 million barrels to the market over 30 days. The breakdown of their contribution is now available:
- Countries have committed a total initial response of 2.1 million barrels per day. This consists of 94% stockdraw, 3% demand restraint and 3% increased indigenous production.
- North America is offering the biggest contribution of total response (52%), followed by Europe (30%) and the Pacific region (18%), based on agreed shares of consumption.
- Countries have committed to draw stocks at the rate of nearly 2 million barrels per day, of which 1,289 kb/d is crude oil and 683 kb/d is product stock consisting of 369 kb/d, motor gasoline, 276 kb/d, middle distillates and 38 kb/d fuel oil.
- Outside the U.S., the largest stockdraw contribution will be 545 kb/d of finished products from Europe, consisting of 317 kb/d, motor gasoline, 190 kb/d, middle distillates and 38 kb/d, fuel oil.
Member countries will make this additional oil available to the market, allowing market mechanisms to provide the most efficient method of directing the oil where it is needed. The IEA response can be adapted to changing market needs by adjusting the duration or quantity of oil.
The IEA’s Governing Board will convene on the 15th of September to assess the oil market and review the impact of the coordinated action.