Canada will ‘do its part’ to help IEA release of oil reserves: Hodgson

OTTAWA — Natural Resources Minister Tim Hodgson said Wednesday Canada will “do its part” to lower the cost of oil globally as a bloc of nations looks to tame the surge in energy prices triggered by the war in the Middle East.

The International Energy Agency -- an intergovernmental organization representing dozens of countries, including Canada -- announced Wednesday it has agreed to release 400 million barrels of oil from member nations’ stockpiles.

Hodgson said Wednesday Canada will support those efforts but didn’t said what form that would take.

“Canada will do its part to contribute to the world’s (oil) supply. That will bring prices down for Canadians. That will keep prices affordable for Canadians,” he told reporters on his way out of the Liberal caucus meeting.

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Canada is the only G7 nation that does not maintain a strategic reserve of oil. Though Canada is a member of the IEA, its status as a net exporter of oil means it has no obligation to maintain a reserve.

Global oil prices have been spiking because the war in the Middle East has shut down oil shipments through the critical Strait of Hormuz, where a fifth of the world’s global oil supply transits.

Iran has attacked commercial ships in the Persian Gulf region and has essentially blockaded the Strait of Hormuz in response to attacks by the United States and Israel.

Prime Minister Mark Carney met virtually with the other G7 leaders Wednesday to discuss the war in the Middle East. U.S. President Donald Trump was among the attendees.

Energy prices were a focus of the meeting, according to a readout from the Prime Minister’s Office. The leaders collectively condemned Iran’s actions and backed the IEA release “to address disruptions in oil markets.”

Trump said later in the day his administration will tap the United States’ Strategic Petroleum Reserve.

During an interview Wednesday with WKRC Local 12 in Cincinnati, Trump was asked about tapping the reserve and said, “Well, we’ll do that and then we’ll fill it up.”

“Right now we’ll reduce it a little bit, and that brings the prices down.”

Energy Secretary Chris Wright said the United States would release 172 million barrels of oil from its reserve.

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Germany, Austria and Japan also said Wednesday they would release parts of their oil reserves in response to the IEA’s request.

The Paris-based IEA is planning its largest-ever release of reserves since the organization was founded in 1974. In 2022, the organization released 182.7 million barrels of oil to address the energy shock in the wake of Russia’s full-scale invasion of Ukraine.

Hodgson said Canada is in discussions with its energy industry to decide how to support the IEA action and he expects to say more in the next day or two.

Canada’s oil industry is already producing at capacity, Hodgson said, but options include delaying downtime or asking refineries working with imported oil to switch to domestic alternatives to free up supply elsewhere.

Alberta Finance Minister Nate Horner told reporters in the legislature Wednesday that even talk of releasing reserve barrels is suppressing pices.

“If they’re able to keep oil from really spiking to a place where it destroys demand and raises the cost of living, the price at the pumps for everyone, it’s no doubt a good thing. Very high sudden prices -- they may be good for Alberta’s revenue in the very short term, but they aren’t in the long term,” he said.

Brian Jean, Alberta’s energy minister, said he hopes to see production go up as well. He said the province “has never seen a greater case” for more infrastructure to transport the province’s oil to the West Coast.

“We’re reaching bottlenecks probably in the not-too-distant future,” he said.

He added that Alberta is working continuously to build shipping capacity.

“The world wants our product. There’s huge demand for it, especially in Asia and with all of our allies, and we should do our part to help them,” said Jean.

Hodgson said in a statement Wednesday afternoon that Ottawa is “moving to diversify export capacity” through the memorandum of understanding with Alberta and fast-tracking developments via the Major Projects Office.

Hodgson told reporters earlier in the day that he is receiving calls from countries interested in Canadian oil, liquefied natural gas and uranium. He did not name the countries.

Hodgson argued that Canada’s reputation for reliability and sound environmental protections makes it an attractive energy supplier.

“What we’re seeing today is, energy security is national security. Our allies don’t have national security right now. We have an opportunity to step up,” he said.

This report by The Canadian Press was first published March 11, 2026.

-- with files from Nick Murray and The Associated Press

Craig Lord, The Canadian Press