Novak says oil reserve releases cannot cover the global market shortfall

Russian Deputy Prime Minister Alexander Novak says reserve releases cannot cover the global oil shortfall.

He said the market has already missed out on 2.2 billion barrels, while about 500 million barrels are being released from reserves, by his estimate.

The releases come as tanker transit through the Strait of Hormuz remains disrupted amid conflict in the Middle East.

In March, International Energy Agency members agreed to release nearly 412 million barrels from strategic reserves, and about 325 million barrels have reached the market so far.

Novak says countries have limited room to release more and would later need to refill their stocks, which could add to demand.

He expects the oil market to take 1 to 1.5 years to stabilise after tanker transit through the strait is fully restored.

The IEA says members will speed up earlier releases and put 20 million barrels of diesel on the market soon.