India is prepared to release additional crude from its national stocks to support efforts by other major oil importers to mitigate surging global prices, the government said on Saturday.

India is the world’s third biggest oil importer and consumer, shipping in 85 per cent of its oil needs. The country has already released at least 3.5 million barrels of the 5 million agreed in November as part of US-led efforts for a coordinated release of stockpiles by major economies, industry sources said.

The country is closely monitoring global energy markets following Russia’s invasion of Ukraine and “stands ready to take appropriate action for ensuring ongoing supplies at stable prices”, a government statement said.

Global crude oil prices rose to $105 a barrel, the highest in almost seven years, over supply concerns after Russia invaded Ukraine on February 24.

Crude did come off the highs but analysts expect the upward trend to continue because of a likely disruption in supply and the situation in Ukraine.

On Thursday, US President Joe Bidden said the United States was working with other countries on a combined release of additional oil from global strategic crude reserves as prices surge following Russia’s invasion of Ukraine.

Japan and Australia have also agreed to tap their oil reserves, together with other member nations of the International Energy Agency (IEA), if global supplies were hit by hostilities in Ukraine.

The statement did not make any direct reference to consumer prices following the spike in international rates.

While supply routes remain open, prices are likely to pinch. Petrol, diesel and cooking gas rates continue to be on the election-related freeze for nearly four months now.

However, PSU oil firms are expected to pass on the elevated global oil prices to consumers soon after elections in Uttar Pradesh end next month.