Blockage of strait of Hormuz, through which about 25% of world’s oil passes, could shock energy market, says Wael Sawan
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An escalation in the Middle East conflict could have a “huge impact on global trade”, the boss of the oil company Shell has warned, as Donald Trump suggested the US could enter the air war between Israel and Iran.
Shell, one of the biggest traders of oil and natural gas in the world, said it had contingency plans in case the conflict disrupted flows from the region. There is a risk that a blockage in the strait of Hormuz could shock the energy market.
Speaking at an energy conference in Tokyo, Wael Sawan, the chief executive of Shell, said: “If that artery is blocked, for whatever reason, it has a huge impact on global trade… We have plans in the eventuality that things deteriorate.”
