Senior American oil executives have warned President Donald Trump's administration that the energy crisis triggered by the war involving Iran is likely to worsen, with global markets facing prolonged volatility as fighting continues across the Middle East.
Executives from major US oil companies, including ExxonMobil and Chevron, delivered the warning during a series of meetings with US Energy Secretary Chris Wright and Interior Secretary Doug Burgum in recent days, The Wall Street Journal reported.According to the report, the industry leaders cautioned that the conflict, now disrupting shipping through the Strait of Hormuz, could continue to destabilise global energy markets in the coming weeks.
The crisis has intensified as maritime traffic through the Strait of Hormuz, one of the world's most critical energy chokepoints, has slowed sharply amid escalating attacks.Roughly one-fifth of global oil exports passes through the narrow waterway linking the Persian Gulf to international markets. Disruptions there have triggered heightened volatility in oil markets and raised concerns over supply shortages.President Trump has urged other countries to deploy warships to ensure the strait remains open to commercial traffic. He suggested that China, France, Japan, South Korea and the United Kingdom could participate in such an effort, though he did not provide details about any commitments.According to The Wall Street Journal, the Trump administration may soon announce the formation of a coalition of countries to escort commercial vessels through the strait. Discussions are ongoing over whether such operations would begin before or after missile strikes in the region subside.No sign of negotiations from IranDespite Trump indicating he was open to negotiations to end the conflict, Iranian officials signalled little willingness to engage in talks.Iranian Foreign Minister Abbas Araghchi said the country had not requested negotiations or a ceasefire, responding to Trump's remarks during a weekend television interview that he was willing to make a deal if better terms could be secured.“We don't see any reason why we should talk with Americans, because we were talking with them when they decided to attack us,” Araghchi said in an interview aired Sunday on CBS.He said Iran would continue defending itself until Washington acknowledges that it is waging what Tehran considers an “illegal war”.It remains unclear whether any diplomatic channels are currently active between the two countries.Europe weighs expanding naval missionEuropean governments are also examining options to secure shipping lanes.European Union foreign ministers are expected to discuss whether the bloc's Aspides naval mission, currently operating in the Red Sea, should be expanded to include the Strait of Hormuz.However, German Foreign Minister Johann Wadephul cautioned that no decision is imminent, telling ARD television that the Red Sea operation had so far been ineffective.Berlin, he said, remains sceptical about expanding the mission to the Gulf.War enters third weekThe conflict, now in its third week, has triggered widespread military activity across the region.White House National Economic Council Director Kevin Hassett said the Pentagon estimates the war could last four to six weeks, urging Americans to remain patient as oil prices climb.According to tolls from governments and nongovernmental organisations, about 3,750 people have died since the conflict began on February 28 with US and Israeli strikes on Iran.The US-based Human Rights Activists News Agency said more than 3,000 deaths occurred inside Iran in the past two weeks alone. Dozens have also died in Israel and Gulf states, while the United States has lost 13 service members.Missile strikes and drone attacks escalateHostilities have continued to intensify across the region.Iranian retaliatory strikes targeted Israel and Gulf states overnight after US forces attacked military facilities on Kharg Island, a critical hub for Iran's oil exports.In Iraq, five missiles struck Baghdad International Airport and nearby areas, wounding five people, Iraqi Lieutenant General Saad Maan said.The United Arab Emirates said it intercepted missiles and drones launched by Iran, with authorities reporting that residents in parts of Dubai heard explosions as air defences shot down incoming projectiles.According to the UAE government, its defence systems have intercepted about 1,600 drones and more than 300 missiles launched by Iran since the conflict began.Iran's foreign minister said missiles that struck Kharg Island had originated from the UAE, an accusation strongly rejected by Emirati officials.Key Gulf export hub briefly disruptedThe fighting has also begun to affect regional energy infrastructure.Oil-loading operations at Fujairah, a major UAE export hub located outside the Strait of Hormuz, resumed on Sunday after a drone strike and fire forced a temporary halt to shipments a day earlier, according to people familiar with the situation.Fujairah is one of the few Gulf export outlets that bypass the Strait of Hormuz, making it strategically important during periods of maritime disruption.
The warning comes as crude prices have surged past $100 a barrel amid fears of supply disruptions from the Gulf, a region that accounts for a significant share of the world's oil exports.Strait of Hormuz disruption rattles energy markets
Report by Network18; source:DaiIyhunt
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