The legacy of the crisis will result in the construction of infrastructure to bypass the Strait of Hormuz,” Hamad Hussain, commodities economist at Capital Economics,
told the Wall Street Journal. “The genie is out of the bottle given that the longstanding threat of Iran effectively closing the strait has now materialized.”
Many observers seem to believe that even when the war ends, one way or another, the oil landscape will change for good, with exporters investing in what the Wall Street Journal described as “an export network with multiple exits”—a real-life demonstration of the principle of distributing eggs to multiple baskets. As summed up by ADNOC’s head and the UAE’s energy minister, Sultan al-Jaber, “Energy security is no longer just about your ability to continue to produce. “It is about routes, access, storage and redundancy.”
Meanwhile, as warnings about a severe oil supply crunch multiply and get louder, some see relief on the horizon. Kpler, specifically, recently described a scenario in which Venezuelan, Iranian, and Russian oil all return to the market in greater volumes—which is already happening.