EIA Warns of Prolonged Strait of Hormuz Shipping Disruption
The US Energy Information Administration (EIA) has upgraded its oil price projections for this year due to ongoing disruptions in shipping through the Strait of Hormuz. The agency expects these restrictions to remain in place until at least the end of August, which will impact approximately 600,000 barrels per day of Middle Eastern crude output.
The EIA's revised forecast puts the average Brent price for 2026 at around $87 per barrel, up from its previous estimate of $82. This increase comes as oil values rise amid skepticism that the US-Iran confrontation will conclude soon.
The agency's updated assessment contradicts President Donald Trump's claims that the Strait of Hormuz is open and under American authority. Commercial shipping data shows that only six vessels traversed the strait on Monday, compared to the usual 130-140 ships per day prior to the conflict.