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Crude oil prices surged on March 12 despite the IEA’s release of 400 million barrels. Brent crude hit $100 per barrel, and WTI Crude touched $94.
Brent Reclaims $100 Mark As War Concerns Overshadow IEA Strategic Oil Release
Crude oil prices continued to see a sharp rise on March 12 despite the International Energy Agency’s decision to release 400 million barrels of strategic oil reserve as an effort to cool down rising oil prices globally.
In a wild swing, Brent crude oil futures jumped 7 percent to cross USD 100 per barrel mark for the second time since the Iran-US war started. WTI Crude futures also swung wildly to touch USD 94 per barrel. Earlier, crude futures had gone up USD 119 per barrel before cooling off after US President Donald Trump’s comment that the war could end soon.
The major factors contributing to the fresh surge in the prices of oil are: the complete choke of tankers at the Strait of Hormuz.
According to a CNBC TV-18 report, analysts believe that the IEA’s decision to release 400 million barrels of oil wouldn’t address the real problem the world is facing today. It added that most of the refined products, including Jet Fuel, still flow through the Strait of Hormuz, which is seeing a complete disruption. Iran-US war has disrupted the crude oil and natural gas supply globally, as the Strait of Hormuz connects the Persian Gulf to Arabian Ocean.
Additionally, concerns over a prolonged war are outweighing the IEA’s decision. Both parties aren’t looking to come on the same boat to begin negotiations.
Iran has conveyed through regional intermediaries that a ceasefire would require the United States to guarantee that neither Washington nor Israel will carry out future attacks on the country, according to a Bloomberg report. Tehran has also demanded recognition of its rights and compensation for reconstruction efforts, though the report said the US is unlikely to agree to such conditions.
US President Donald Trump welcomed the International Energy Agency’s decision to release oil reserves and indicated that the United States could also tap its Strategic Petroleum Reserve (SPR) to ease market pressures. The US is set to release about 172 million barrels from the SPR, which currently holds around 415 million barrels—just over half of its total storage capacity.
Meanwhile, tensions in key shipping routes remain high after three vessels were reportedly hit by projectiles in the Strait of Hormuz and the Persian Gulf, heightening risks and uncertainty for ships operating in or planning to transit through the region.
March 12, 2026, 08:19 IST
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