Aramco: Blocking of Hormuz Strait Could Devastate Oil Market

Aramco warns of devastating consequences for global oil markets if the blockade of the Strait of Hormuz continues. The Saudi Arabian energy giant reports that global oil reserves are at their lowest level in the last five years.

Oil shipments through the critical sea route have been largely blocked, while under normal conditions about 20% of the world's oil passes through this point daily.

Iran's Revolutionary Guards have stated that they will not allow oil to be exported from the Middle East if attacks by the United States and Israel continue.

Aramco CEO Amin Nasser stressed that the crisis has not only affected the shipping and insurance industries, but may also have ripple effects on aviation, agriculture, the automotive industry and many other sectors of the economy.

The international benchmark for Brent crude oil was trading near $92 a barrel, following statements by Donald Trump that the war may end soon.

Nasser also pointed out that global oil reserves are at their lowest level in the last five years.