🔶 "Nearly one billion barrels of oil have been drawn from global reserves"

🔶 "Nearly one billion barrels of oil have been drawn from global reserves"

Sultan Al Jaber, CEO of Abu Dhabi National Oil Company, announced on Monday, November 2 (11 Aban) that since disruptions began in shipping through the Strait of Hormuz following the war between the United States and Israel with Iran, nearly one billion barrels of oil have been drawn from global reserves.

Speaking at ADIPEC in the United Arab Emirates, he added: “Diesel reserves in some regions at this point in the season are at the lowest level in the past 35 years, while other areas are facing a supply gap of 600 billion cubic feet of liquefied natural gas (LNG).”

Diesel prices in many markets have reached unprecedented records and pose a threat in terms of inflation and rising cost of living for governments and consumers.

Al Jaber said: “We need more developed strategic storage, larger stocks of products, and flexible refining capacity located near consumer markets.”

According to him, infrastructure must be built before it is needed and supported through advanced transportation systems.

The CEO of Abu Dhabi National Oil Company also added that transportation costs have increased from 5 percent per barrel before the Iran war to 30 percent of the cost of a barrel at present.

The Brent crude oil price is currently about $110 per barrel; that is 50% higher than its price before the start of the Israel-U.S. war with Iran.

In October, the International Energy Agency agreed to release and sell more than 20 million barrels of diesel from its reserves into the markets.