Aramco CEO Warns of Two-Year Oil Supply Recovery After Hormuz Crisis
Saudi Aramco's CEO Amin Nasser has warned that the global oil supply squeeze triggered by the Strait of Hormuz crisis may take up to two years to fully recover. Speaking at the Energy Intelligence conference in London, Nasser highlighted that nearly 3 billion barrels of oil supply have been lost since the conflict began, with about 1 billion barrels released from stockpiles to mitigate the shortfall.
The remaining 6 billion barrels in storage are not practically available, according to Nasser, indicating severe strain on the global oil system. He emphasized that even if the Strait of Hormuz reopens, the market will face prolonged pressure as producers and refiners work to rebuild inventories while meeting ongoing demand.
The two-year recovery timeline underscores the challenge of restoring market balance, as replenishing depleted inventories will require sustained additional supply amid continuous demand. Nasser's remarks suggest that crude and refined fuel markets could remain volatile as the industry struggles to restore its buffers.