In fact, even if Iran does not conduct military exercises in advance, the impact of the blockade of the Strait of Hormuz is predictable, because this is not the first time Iran has done so. As early as the 1980s, during the Iran-Iraq War, Iran blocked the strait. At that time, the relationship between the United States and Iran was very bad, and the U.S. Navy escorted tankers across the strait. With the support of its allies, the UAE built a 220-mile, 48-inch oil pipeline from the Persian Gulf to the Gulf of Oman, bypassing the Strait of Hormuz. It went online six years ago and to a certain extent helped the oil security of future partners. The oil pipeline also leads to the Red Sea, which is another alternate route. However, the transportation capacity of these pipelines is limited. Most of the crude oil of Gulf oil-producing U.S. crude oilcountries still has to pass through the strait, and other trade activities of these countries also cannot do without the Strait of Hormuz.
The International Energy Agency said on August 0 that the increase in Saudi and Russian oil production, the surge in US crude oil exports, and the partial but fragile recovery of Libya have alleviated people's concerns about the stability of oil supply. Gulam said that in the next few years, focusing on short-term development projects will result in a substantial increase in US production. But in the next decade, the increasing rate of basin decline will begin to erode this growth.
The Ministry of Shipping of India informed the Ministry of Petroleum and Natural Gas Industry of this move in a letter dated September 9. The oil sales company is now granted a certificate of no objection to further import up to 20.07 million tons of crude oil, accounting for a 52% increase, the letter said.
No matter who will crash next, investors should remain vigilant. Because once the crisis spreads on a global scale, it will inevitably affect global crude oil demand. In fact, signs of a slowdown in demand have already begun to appear. Last week, EIA crude oil inventories increased by 6.8 million barrels and Cushing crude oil inventories rose for the first time in three months.
Greed and fear. Even a smart person can become stupid when he develops fear. In the crude oil spot market, fear often makes investors' investment level abnormal, often makes mistakes, and ultimately leads to investment failure.
At present, crude oil investors are eagerly awaiting an important meeting between OPEC and Russia later this week. It is expected that the participating pU.S. crude oilarties will maintain the production reduction agreement to support the crude oil market. It is reported that although the high crude oil price will make US shale oil flood into the market, Saudi Arabia hopes that crude oil prices can climb to $00 per barrel.