"International Energy" Warns against entering the oil market "Red area" This summer
The CEO of the International Energy Fatih pyrrole than The oil market may enter "Red area" With a supply shortage in July or August, if the dispute in Middle East.
During a speech he delivered at an event organized by the Chatham House Research Center on Thursday, Birol said that the problem is that the travel season begins at the end of June and the beginning of July, and that the demand for and consumption of oil is generally increasing.
Facing this situation, the Director of the Energy Agency confirmed that the latter is ready to move to pump more oil reserves into the markets if the countries decide to do so.
To calm the markets, the 32 member states announced in March, pumping 426 One million barrels, or more than a third of its strategic reserves, in an unprecedented decision.
Closing the Strait of Hormuz
led to the disruption of navigation in The Strait of Hormuz Due to the war in the Middle East, more than one billion barrels of oil exports from the Gulf were lost, representing a market shortage estimated at about 14 million barrels per day, according to the International Energy Agency.
Under these circumstances, and despite the release of strategic reserves, the International Energy Agency warned on May 13 of a record decline in oil reserves as the war in the Middle East continues.
In the absence of a quick solution to the conflict, oil prices may continue to rise.
It was estimated Analyst at a company "Global Risk Management" Arne Lohmann Rasmussen believes that the drop in prices will not be as significant as many hope if the Strait of Hormuz is reopened, pointing out the need to replenish stocks and logistical challenges that must be solved.
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