The Iran war has caused “the largest supply disruption in the history of the global oil market,” the International Energy Agency said on Thursday.

Global oil supply is projected to plunge to 8 million barrels a day in March, the IEA said in its monthly report, with export flows through the Strait of Hormuz “at a near standstill”.

On Wednesday, the IEA’s member states agreed to release 400 million barrels of oil from their emergency reserves, the largest release in the agency’s history, to address the disruptions and curb surging costs.

While of losses will depend on the duration of the conflict, the agency estimated that global oil supply should still rise by 1.1 million barrels a day on average, with producers such as Russia and Kazakhstan accounting for the increase.