Sultan Al Jaber, CEO of the Abu Dhabi National Oil Company (ADNOC), announced at an energy conference in Abu Dhabi that since the onset of the U.S. and Israeli regime's war against Iran, global energy precautionary reserves have been severely affected, with nearly one billion barrels of oil depleted from global reserves.
Increase in Transportation Costs
Al Jaber noted that transportation and logistics costs have risen to over 30% of the cost of each barrel of oil, whereas before the war, this figure was only 5%. This increase in costs has put pressure on the global oil market and raised concerns among oil-producing countries.
Shortage of Diesel Reserves
He also pointed to a shortage of diesel reserves in some markets, which has reached its lowest level in 35 years for this time of year. This situation clearly indicates the need for broader strategic storage and more flexible refining capacity close to consumer markets.
This warning from the senior oil official comes in light of the closure of the Strait of Hormuz, through which about 20% of global liquid petroleum consumption passes. The selective and aggressive war by the U.S. and the Israeli regime has caused shocks in global energy markets and increased household costs. The U.S. government, especially during Donald Trump's presidency, has faced severe diesel fuel shortages and has attempted to control prices in the markets with baseless statements, such as claiming that Iran does not control the Strait of Hormuz.
International and Local Consequences
Oil-producing countries have been forced to release emergency reserves due to the new conditions. Many countries have advised their citizens to optimize their consumption due to fuel shortages. Tehran, which is under the illegal maritime blockade of the U.S. government, has emphasized that the Strait of Hormuz will remain closed until its conditions for ending the war are met.
