Oil prices could rise to $160

World oil prices could reach $160 per barrel if the Strait of Hormuz remains closed until July, experts warn. The US is stepping up its blockade of Iranian ships, and Iran is responding by blocking a key sea route. This poses serious threats to the global energy market.

Oil prices are at risk of a sharp rise

The global energy market is on the verge of a new crisis. Experts estimate that if the strategically important Strait of Hormuz remains blocked until July, oil prices could rise to $160 per barrel. This will be the highest level in recent years and will lead to a significant rise in fuel prices worldwide. According to Vortexa Ltd., Currently, about 155 million barrels of Iranian crude oil are in transit or on floating storage facilities around the world.

US and Iran continue blockades

The situation is complicated by the fact that the United States is stepping up blockade of Iranian ships, by stopping tankers in the Indian Ocean. The US authorities have also imposed sanctions on a major Chinese refinery, which they claim is one of the main buyers of Iranian oil. Iran responded by continuing its blockade of the Strait of Hormuz, through which a significant portion of the world's oil exports pass.

Problems with oil storage and production in Iran

Through American blockade Iran is facing a shortage of crude oil storage facilities. This may lead to a forced reduction in production, as it is not known how many more empty tankers are available for loading. Restrictions on exports and the accumulation of reserves put additional pressure on the Iranian economy and the global oil market.

Why it matters

The Strait of Hormuz is one of the most important transport corridors for the global oil market. A blockade of this route could lead to fuel shortages, rising energy prices and inflation in many countries. A long-term blockade of the strait could have a significant impact on the economic stability of not only oil exporters and importers, but also on global financial markets. Experts note that further deterioration of the situation could have long-term consequences for the global economy.