With the continuing esculation of tensions with Iran over it’s Nuclear ambitions some commentators are anticpating that if traffic flowing through the Strait of Hormuz, where some 35% of the world’s seaborne oil shipments and at least 18% of daily global crude shipments pass through, is interrupted to the point of the strait closing we could see a rise in crude oil prices of between $20 and $40 a barrel within just a few hours.
Any interruption beyond 72 hours would push prices to between $150 and $200 a barrel.
So says Dr. Kent Moors who is an advisor to six of the world’s top 10 oil companies.
