All articles tagged with #oil and energy
CFR expert Max Boot argues that Trump’s Iran deal has collapsed and there is no viable military path to overthrow Iran. The U.S. has bombed and reimposed a blockade, but Iran now leverages control of the Strait of Hormuz to extract tolls and pressure global shipping, leaving Washington with a difficult choice between tolerating fees or risking greater escalation as domestic support for the war remains low.
Russia says it is discussing importing gasoline from abroad as Ukrainian drone strikes disrupt refineries and energy infrastructure, with President Putin acknowledging a fuel shortage. Reserves have fallen to about 1.7 million metric tons (roughly 4% below a year ago). Talks are underway with unnamed countries, and subsidies to finance imports are being prepared; fuel rationing has begun in several regions, including occupied Crimea, underscoring a broader effort to stabilize the domestic market.
Saudi Arabia refused to allow the U.S. to use its bases or airspace for Project Freedom, prompting Trump to suspend the plan. Riyadh’s veto highlights Gulf caution toward escalating conflict with Iran and comes as the UAE grows frustrated with Riyadh while seeking closer ties with Israel. The halt raises the risk of resuming hostilities near the Strait of Hormuz, jeopardizes a fragile ceasefire, and could trigger Iranian retaliation against shipping and Gulf energy infrastructure, amid shifting regional alignments.
The Bulwark weighs how the Iran crisis could shape Russia and Ukraine: Moscow may benefit from higher energy prices and fewer weapons headed to Kyiv if Tehran’s regime weakens, but Tehran’s fall could also undermine Russia’s regional leverage. Iran’s drone and missile exports have declined as Russia shifts to domestic Shahed production, while analysts caution that Iran’s instability could force Moscow to recalibrate its Middle East strategy. The situation could distract Washington from Ukraine or, conversely, backfire on Russia if the conflict drags on, making the outcome highly uncertain.
Goldman Sachs has cut its oil price forecast by almost 10% due to concerns over the spread of the Delta variant and its impact on the energy market. The bank now predicts Brent crude will average $75 a barrel in the fourth quarter, down from its previous forecast of $80.