The Great Restart is well underway, with producers across the Gulf increasing production and exports despite the fragility of the US-Iran agreement that led to the partial reopening of the Strait of Hormuz. The closure of the strait since early March and resultant shut-in of more than 10mn b/d of Middle East production was unprecedented, and the restart of flows through this crucial artery is an equally unprecedented process. Considering the geopolitical uncertainty, the initial process has gone smoothly, but there will likely be setbacks along the way.
Some Gulf exporters had a head start, having increased exports well ahead of the 17 June signing of the MoU, but shipments have risen sharply since then. Central to these efforts are state-backed shipping companies willing to transit the Strait of Hormuz while security concerns prevent most international firms from sending vessels through the strait. (CONTINUED - 1037 WORDS)
