IEA predicts 2027 global oil supply jump if U.S.-Iran deal
Business
The International Energy Agency (IEA) expects a big jump in global oil supply by 2027, mainly because the Strait of Hormuz is expected to reopen after a U.S.-Iran deal.
That agreement would end a blockade, letting Iranian oil flow again, after Middle East output had been seriously disrupted.
IEA says extra oil for reserves
IEA forecasts supply will grow by 8 million barrels a day, but demand will only rise by 2 million barrels a day. This means there will be extra oil to refill reserves and inventories.
Middle East exports are bouncing back, though some risks remain with logistics and transit.
Russian exports have stayed steady even with ongoing conflict.