The transit of over 20 million barrels of oil through the Strait of Hormuz last week marks a record for this waterway. According to Wright, the U.S. Secretary of Energy, this level of transit is even higher than before the war began and indicates a revival of the flow of oil, gas, and other petroleum products.
Details of Oil Transit and Its Impacts
The Strait of Hormuz, as a key passage for energy transfer, used to move an average of about 20 million barrels of oil daily before the war began on February 28, 2025. This figure is equivalent to one-fifth of the global oil supply. Wright believes that the actions of the U.S. armed forces have contributed to the revival of this flow.
Read more: International sanctions changed the route of oil tankers towards China
Meanwhile, the Islamic Republic of Iran proposed on September 25 to reopen the Strait of Hormuz in exchange for lifting the maritime blockade, granting exemptions for oil sales, and establishing a ceasefire that would also include Lebanon. This comes as Donald Trump, the President of the United States, has responded negatively to this proposal and called for continued economic pressure on the Iranian government.
Current Challenges in the Energy Market
The U.S. Secretary of Energy also pointed to the challenges facing refineries in Russia and the Middle East, emphasizing that these challenges have increased pressure on energy prices. Wright acknowledged that Russia's refining capacity has significantly decreased, and part of the Middle Eastern refining capacity has also been taken offline.
In this context, Wright criticized the policies of the Biden administration and reported the closure of over 12 refineries during his presidency. He also mentioned the government's efforts to establish the first new refinery in the U.S. in several decades.
Furthermore, Wright emphasized the necessity of increasing energy production and electricity generation capacity in the U.S., deeming it essential for the economic and industrial advancement of the country. He noted that to achieve these goals, there is a need to create new capacities in electricity production.
According to Wright, U.S. oil production has now surpassed the combined oil production of Russia and Saudi Arabia, making the country one of the largest net energy exporters in the world. However, he warned that global energy markets are interdependent, and any disruption in global supply will have negative impacts on all countries.
In recent weeks, the movements of the Houthis in Yemen around the Bab-el-Mandeb Strait and their attacks on Saudi Arabia have also raised concerns about the security of energy transit routes. These developments may influence the outlook for the global oil market.
Finally, Wright referred to the Trump administration's policies towards Venezuela and called for transforming the country into one of Washington's allies. He emphasized the goal of creating a peaceful and democratic Venezuela that would provide new investment opportunities for American companies through increased oil production.
Read more: The Gulf Waterway Management Authority threatened shipping companies with restrictions on passage through the Strait of Hormuz · Russia can resume 80 percent of its grain export capacity in the Black Sea
