IEA Chief Warns of Oil Supply Risks Amid Hormuz Strait Closure

The International Energy Agency (IEA) Chief, Fatih Birol, has issued a warning regarding the potential doubling of oil and refined product losses in April if the Strait of Hormuz remains closed to shipping. According to Odaily, Birol emphasized that even if the conflict ends, it will take a significant amount of time to return to normalcy. Birol stated that the IEA is closely monitoring all critical energy assets in the region, including oil and gas fields, pipelines, refineries, and liquefied natural gas terminals. He noted that 72 energy assets have been damaged, with one-third suffering severe or very severe damage. He commended Saudi Arabia for its swift response to the crisis, highlighting the country's rerouting of over two-thirds of its oil exports through a pipeline to the Red Sea. Birol mentioned that Saudi authorities assured him of the pipeline's robust protection. However, he cautioned that any attack on this route could have extremely serious consequences for the global economy.