Energy

China supports IEA's release of oil reserves

(Xinhua)
Updated: 2011-06-25 09:54

BEIJING -- China's National Energy Administration (NEA) said on Friday that China appreciates and supports the International Energy Agency's (IEA) decision to release strategic oil reserves to ease supply disruptions in Libya.

The IEA's move will increase the global supply of crude oil and help to stabilize prices, the NEA said in a statement.

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The statement said China will keep a close eye on how international crude oil markets will react to the release.

"China will work with the international community to ensure energy supply security and guarantee the stability of the global crude oil market," it said.

It also called for the international community to play a more "active and constructive" role in bringing oil prices back down to reasonable levels.

The IEA announced on Thursday that its members, including the United States and several European countries, will release 60 million barrels of oil over the next 30 days to fill a gap in supplies caused by a disruption in Libya's crude oil output.

Crude prices plummeted on Thursday after the announcement. Light crude for August delivery fell 5.05 percent to 90.59 dollars per barrel on the New York Mercantile Exchange. In London, Brent crude for August delivery tumbled 5.95 percent to 107.42 dollars per barrel.