The Paris-based IEA on Friday estimated that one million barrels per day (bpd) of Libya’s crude oil production was shut. The country usually pumps 1.6 million bpd.
“We stand ready to act if needed but so far we think it’s not necessary because of the level of the disruption which is still not that big,” Didier Houssin, director of energy markets and security at the IEA, said.
The 28 member countries of the IEA hold emergency stockpiles equivalent to at least 90 days of net oil imports, counting both governments and industry stocks, equivalent to almost three years of Libyan crude output.
“We must recognize that Libyan oil is less than two percent of global oil production, there is spare capacity and so far refiners haven’t expressed a problem finding alternative solutions for their supplies,” he added.
On US government reiteration on Sunday that it could tap its strategic oil reserves to safeguard economic growth, Houssin said: “Our plan is based on coordination and solidarity so it means that we will coordinate a collective action if it’s decided.”
Houssin added: “They could use their stocks beyond their obligation but so far it hasn’t been the case and we are in contact with our member countries to see what would be needed.”
