DUBAI — The world has lost about one billion barrels of oil over the past two months and energy markets will take time to stabilize even if flows resume, Saudi Aramco’s CEO said on Sunday.
"Our objective is simple: keep energy flowing, even when the system is under strain," Amin Nasser told Reuters in a statement after Aramco reported a 25-percent jump in net profit for the first quarter.
Global energy supplies have been sharply squeezed by Iran’s blockade of the Strait of Hormuz, which has curtailed shipping and driven prices higher following the start of the US-Israeli war on Iran on Feb. 28.
"Reopening routes is not the same as normalizing a market that has been deprived of about one billion barrels of oil," Nasser said, adding that years of underinvestment had compounded the strain on already-low global inventories.
Aramco has used its East-West Pipeline to bypass Hormuz and transport crude to the Red Sea, an asset Nasser described as a "critical lifeline" to mitigate the global supply crisis.
Despite shifts in shipping routes, Nasser reiterated that Asia remained a key priority for the company and was central to global demand. REUTERS
