Middle East Producers Gear Up for Possible Oil Export Resumption Through Hormuz

Producers in the Middle East are preparing for the potential resumption of oil exports through the Strait of Hormuz, a critical waterway that has been blocked by Iran. According to sources with knowledge of the matter, Saudi Aramco and Kuwait Petroleum Corp have asked Asian refiners to submit crude oil loading programs for April and May.

With a two-week ceasefire deal between the U.S. and Iran in place, hopes are growing for the reopening of the Strait, which carries around 20% of global oil and LNG supplies. However, there is no sign yet that Tehran has lifted its near-total blockade, which has driven up energy prices sharply.

Saudi Aramco's clients have been asked to submit nominations for cargoes loading from the ports of Yanbu and Ras Tanura in May, subject to the resumption of exports from the eastern Ras Tanura port. This requires vessels to transit via the Strait of Hormuz.