Philippe Khoury, Executive Vice President for Sales and Trading at Abu Dhabi National Oil Company (ADNOC), stated that August could mark a critical tipping point for significantly higher oil prices. Speaking at the Middle East Petroleum and Gas Conference in London, Khoury explained that upward price pressure would intensify if global oil demand rebounds while supply constraints linked to the regional conflict persist.
According to Khoury, commercial traffic through the Strait of Hormuz remains partial and depressed below pre-war levels due to continued geopolitical uncertainty. The waterway serves as a crucial choke point that typically carries approximately one-fifth of global petroleum liquids consumption daily.
Khoury warned that normalizing energy flows would not happen like flipping a switch, projecting that supply chain restoration could require up to a full year. He noted that certain logistics components would require weeks to recover while others would take months, pushing a complete return to standard conditions to mid-2027.
The outlook echoes remarks from ADNOC Chief Executive Officer Sultan Al Jaber, who previously estimated that full normalization of tanker transit through the Strait of Hormuz might not occur until the first or second quarter of 2027.
Sources
- EnergyNow.com · 2026-09-24
