Saudi Aramco CEO Warns of Long-Term Energy Shock

Amin H. Nasser, the CEO of Saudi Aramco, announced that the world is experiencing its largest energy shock, which may affect markets until 2027.

This shock began in the first quarter of 2026, primarily due to disruptions in oil supply caused by the blockade of the Strait of Hormuz. Nasser noted that if the Strait of Hormuz were to open, it would take several weeks for the market to rebalance, with normal conditions expected to last until 2027.

In the first quarter of 2026, crude prices surged, reaching mid-$60s in early February and $100 per barrel in March. The ongoing crisis has resulted in a loss of approximately 880 million barrels of oil, with the market projected to lose around 100 million barrels weekly if the blockade continues.

Despite these challenges, Saudi Arabia's east-west pipeline is operating at maximum capacity, delivering 7 million barrels per day.