A Kobeissi report argues that most people seem unaware of the severity of the current energy situation in the Middle East.
The report points out that as of Friday, Saudi Arabia's east-west oil pipelines, recently attacked, have officially ceased operation, putting approximately 4 million barrels per day of Saudi oil exports at risk. Meanwhile, the Bab el-Mandeb Strait is also at risk of closure, potentially threatening up to 9 million barrels per day of oil supply. The Strait of Hormuz currently has only about 20% of its pre-war capacity, resulting in a disruption of approximately 15 million barrels per day of oil flow.
In total, approximately 30 million barrels per day of oil flow is currently disrupted or at risk of disruption. Even considering some overlap between these transport routes, the potential scale of supply disruptions remains enormous relative to the global oil market's approximately 100 million barrels per day. This is one of the most severe energy supply situations in modern history.
