Oil prices fall as strait of Hormuz traffic resumes
Global oil prices have dropped to levels not seen since before the Iran war as traffic gradually resumes through the St….
Global oil prices have dropped to levels not seen since before the Iran war as traffic gradually resumes through the Strait of Hormuz, a critical shipping route for oil and gas.
Brent crude briefly fell below $72.48 a barrel the price on 28 February, the day before US and Israeli attacks on Iran before edging up to $72.63.
The cost of crude has moved sharply lower since the US and Iran signed a Memorandum of Understanding on 17 June, establishing a 60-day negotiation period to end the war.
Representatives met in Switzerland last weekend, resulting in the US partially lifting sanctions on Iranian oil exports.
Maritime intelligence firm Kpler reports a significant rise in vessels crossing the strait since the MOU, including ships carrying crude oil, LNG, and fertiliser.
Qatar and Pakistan, acting as mediators, confirmed both sides had established a communication line to ensure safe passage for commercial vessels.
Maritime risk firm Marisks estimates around 80 ships have crossed since Monday after the first peace talks.
However, traffic remains below pre-war levels of over 100 ships daily. Hundreds of vessels still wait in the Gulf.
US President Donald Trump on Wednesday ordered an investigation into major energy companies, accusing Shell and ExxonMobil of « gouging » drivers by not reducing fuel prices despite falling oil costs.
The American Petroleum Institute responded that fuel prices « don’t move in lockstep with crude oil. »
British energy firms have faced similar accusations since the war began.
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