Shell CEO Sawan Says Middle East Oil Flows Back to 80% of Pre-War Levels

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Summary · why it matters

Middle East oil flows have rebounded to roughly 80% of pre-war volumes, Shell CEO Wael Sawan said Tuesday, according to Bloomberg. Speaking at the Energy Intelligence Forum in London, Sawan called the recovery a testament to the region's resilience in maintaining supply commitments to global markets, and said his assessment is among the most authoritative yet as banks and shipping analytics firms also point to flows approaching pre-conflict levels. He warned, however, that the longer the war continues, the harder it will be for markets to keep managing supply disruptions, noting that flows have not returned to normal and that the crunch would have been worse without reduced Chinese demand and increased production elsewhere. "We have maybe softened the worst impacts of the crisis, but there is only so long that you can continue to do that without further discontinuities emerging," Sawan said, adding that national security cannot exist without energy security.

Impact on assets 3

Energy Transition & Power Demand▲
Shell plc
SHEL
± MixedSupplyrelevance

Shell CEO says Middle East oil flows rebounded to ~80% of pre-war levels but warns continued war risks further supply discontinuities.

Others▼
⛏Crude Oil WTI Futures
WTI
▼ NegativeSupplyrelevance

Rebounding Middle East oil flows toward pre-war volumes ease supply tightness, weighing on WTI crude.