The world has lost more than 2.6 billion barrels of oil since the US-Israeli war with Iran began in February, Saudi oil giant Aramco’s Chief Executive Officer Amin Nasser has said, warning that global inventories are running low despite efforts to reroute oil flows, Reuters reports.
The lost supply is equivalent to nearly a month of normal global crude production, highlighting the scale of the disruption caused by the closure of the Strait of Hormuz, a major oil chokepoint. The disruption has upended energy markets and shows little sign of easing.
“If the Strait were to open today, it would take up to 18 months at an average rate of 2.1 million barrels a day to replenish depleted inventories,” Nasser said.
He said Aramco had continued to maintain business continuity despite the unprecedented disruption to supplies through the Strait of Hormuz by making use of its diverse asset base and multi-decade planning.
“Despite the unprecedented supply disruption through the Strait of Hormuz, we continued to demonstrate our ability to maintain business continuity by capitalising on our diverse asset base and multi-decade planning,” Nasser added.
Aramco, the world’s top oil exporter, posted a 44 per cent increase in net profit to $32.69 billion in the three months to June 30. The company benefited from higher prices for crude oil, refined products and chemicals, while also rerouting shipments away from the Strait of Hormuz.