How escalating Iran conflict is driving up oil and gas prices a visual guide

"The seaway between Iran and Oman—barely more than 20 miles wide at its narrowest point—is an unavoidable choke point through which about 20% of the world's oil supplies travel out into the Indian Ocean and on to the rest of the world. While Iran has not officially shut down the channel, it does not need to do so. Such are the jitters among oil and shipping companies—not to mention their insurers—that traffic has more or less come to a standstill."

"The number of cargo vessels navigating the strait has already slumped from more than 50 a day to just seven on Sunday, according to Lloyds List, the London-based shipping intelligence publisher. Iranian forces claimed on Monday to have hit the Honduras-flagged fuel tanker Athe Nova in the strait with two drones, leaving it ablaze. Tehran also struck a port facility in Oman and a ship north-west of Muscat, as the Iranian military broadcast radio warnings to ships intending to cross the strait of Hormuz."

"Dubai's Jebel Ali, the world's busiest container port outside of Asia, suspended operations before reopening after falling debris from an aerial interception started a fire at one of its berths. Such fears are well founded, with at least three tankers damaged and one seafarer killed over the weekend."

Iran has launched counterstrikes against multiple Middle Eastern targets in response to US and Israeli attacks, severely impacting the oil and gas industry and global economy. The Strait of Hormuz, a critical 20-mile-wide chokepoint through which approximately 20% of the world's oil supplies pass, has experienced near-complete traffic shutdown. Although Iran has not officially closed the channel, shipping companies, insurers, and oil firms face such significant risks that vessel traffic has plummeted from over 50 daily passages to just seven on Sunday. Multiple tankers have been damaged, one seafarer killed, and the Honduras-flagged fuel tanker Athe Nova was reportedly struck by Iranian drones. Dubai's Jebel Ali port suspended operations after debris from aerial interceptions caused fires, while Iranian military broadcasts issued warnings to ships attempting transit.

Read at www.theguardian.com