US EditionChevron CEO says Iran war impact isn't fully priced into oil market, traders have ‘scant information’
Chevron CEO Mike Wirth says more than 11 million barrels of oil remain offline due to the Iran war and Strait of Hormuz closure, despite U.S. Strategic Petroleum Reserve releases.
- Chevron CEO Mike Wirth warned at CERAWeek in Houston that oil futures do not fully price the supply disruption from the Iran war, citing 'very real, physical manifestations' of the Strait of Hormuz closure.
- Iranian missile and drone forces have damaged energy infrastructure and hit shipping, plunging tanker traffic through the Strait, which carried about 20% of world oil before the war, while Gulf Arab producers, including the UAE, cut output by more than 50% this month.
- More than 11 million barrels remain offline while the International Energy Agency agreed this month to release 400 million barrels, including 172 million from the U.S. Strategic Petroleum Reserve, and the U.S. began withdrawals on March 20.
- Wirth warned inventories will take time to rebuild even as Asian countries face supply shortages and conservation efforts, with prices plunging on Monday after Trump signaled a deal with Iran.
- Iran's threats to attack more energy facilities raise the stakes, as helium for semiconductors and fertilizer supplies transit the strait now at risk, with top energy leaders canceling CERAWeek appearances.
14 Articles
14 Articles
US-Iran war damaged global oil markets more than Russia-Ukraine war, Chevron CEO says
HOUSTON — Oil companies and the world’s largest energy consumers face a significant challenge to rebuild global petroleum supply chains and inventories once the critical Strait of Hormuz bottleneck opens, Chevron CEO Mike Wirth said Monday. “We’ve got a lot of oil and gas now that is not flowing into the market,” Wirth said at the CERAWeek by S&P Global conference in Houston. “Physical supply chains don’t respond immediately, so even if the stra…
Although they have increased by approximately 60% since the start of the war with Iran, the future prices for oil and natural gas remain very low in the real supply crisis affecting Asia and extends to...
Chevron CEO says traders have ‘scant information’ on oil market - CEO NA Magazine
Speaking at S&P Global’s CERAWeek conference, Chevron CEO Mike Wirth said the oil futures market has not fully priced in the scale of the supply disruption caused by the closing of the Strait of Hormuz. “There are very real, physical manifestations of the closure of the Strait of Hormuz that are working their way around the world and through the system that I don’t think are fully priced into the futures curves on oil,” Wirth stated. According t…
New Delhi: The ongoing conflict between the US and Iran has had a bigger impact on the global oil and gas market than the Russia-Ukraine war, said Mike Wirth. He pointed to serious disruptions in the energy supply chain. Chevron CEO Wirth warned, according to a Politico report, that attacks on oil tankers by Iran and increased tensions in the Middle East have had a major impact on the global energy market. According to the report, the conflict i…
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