Tuesday, August 5, 2008

40% of all Seaborne-Traded Crude Oil Moves Through the Straits of Hormuz Daily

17 million barrels of oil move through the Straits of Hormuz daily, 40% of all seaborne-traded crude oil. (This is about 25% of the world's total crude supply.) Closure of the Straits, even for a short time, as threatened by Iran if its nuclear facilities are attacked, would raise the price of crude to $300 per barrel, according to George Friedman, founder of StratFor, the Austin Texas-based global intelligence company.

(Source: Barrons, August 4, 2008, "In Sight, an Amicable Endgame in Iran")

No comments: