Red Sea risk to oil 'very real,' prices could change rapidly if supply disrupted, Chevron CEO says
Publishing timestamp: 2024-01-16 15:29:04
Summary
Chevron CEO Michael Wirth expressed concern over the crisis in the Red Sea, stating that the situation is serious and getting worse. He warned that if tensions lead to a major supply disruption in the Middle East, oil flows and prices could change rapidly. Chevron has continued transporting crude through the region and is working closely with the U.S. Navy's Fifth Fleet. Shell has suspended shipments through the Red Sea, and several major tanker companies have halted traffic. Houthi militants, based in Yemen and allied with Iran, have attacked commercial vessels in the Red Sea. The U.S. and Britain have launched airstrikes against Houthi targets, but the attacks continue. The biggest risk to energy supplies would be a regional conflict that disrupts crude oil flows out of the Strait of Hormuz. Chevron CEO also mentioned previous incidents where Iranian Navy attacked Chevron ships.
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Keywords: bp plc, shell plc, trade, markets, u.s. economy, energy, transportation, business news, chevron corp, breaking news: markets, breaking news: business, investment strategy, breaking news: investing, oil and gas,
Source: https://www.cnbc.com/2024/01/16/red-sea-crisis-poses-very-real-risk-to-oil-chevron-ceo-says.html