Iran ramps up oil exports amid Middle East escalation

Oilprice reports that Iran has hiked its daily oil exports since geopolitical tensions in the Middle East escalated.

According to vessel-tracking firm TankerTrackers.com, the country has shipped 2.33 million barrels of crude per day starting June 13. Since last Friday, Iran's average oil exports have surged 44% compared to the 12 months through June 12.

Despite concerns about disruptions to Middle Eastern energy supplies, there has not been any sign of Iran’s vital export infrastructure malfunctioning, Oilprice reports. 

However, analysts at RBC Capital Markets say the potential closure of the Strait of Hormuz poses the greatest risk to crude flows. They believe blocking this route could push oil prices to $100 per barrel.

The Strait is responsible for almost a third of the world’s seaborne oil trade. Significant disruptions to supplies through it could drive crude prices up to $120 per barrel, say analysts at ING.