Interior Secretary Doug Burgum breaks the administration The new plan for directing offshore mineral policies of “Varny and KO”.
Gasoline prices sit at a four -year low as ceasefire Iran and Israel have made it easier for fears that the Middle East conflict can disrupt global oil supply.
The national average price for a regular gasoline gallon was $ 3.20 on Friday, as oil prices remained where they were before tensions in the Middle East sparked a “knee” reaction in the markets, according to industry experts.
US attacks at three key Iranian nuclear sites on Saturday caused oil and futures to spread on Sunday night, rising to $ 78 a barrel. It quickly collapsed until Monday, according to AAA.
Since there was no disruption of oil supply, oil prices are expected to remain under pressure due to an abundance of supply, especially since OPEC+ continues to increase production, according to Lipow Oil associates president Andy Lipow.
World oil growth is also unattainable, according to Lipow, who estimated that pump prices will remain relatively stable during the July 4 holiday, shed 3 to 5 cents over the next week.
The national average price for a regular gasoline was $ 3.20 on Friday. (Daniel Acker / Bloomberg through Getty Images / Getty Images)
However, he predicted that California prices would rise as state -run gasoline tax is rising from 59.6 to 61.2 cents per gallon on July 1.
The market believes that the risk of closing the key waterway, the Formu Strait “, dramatically fallen,” especially when the president Donald Trump China said it could buy Iranian oil, reducing the risk of attacks on oil facilities in the region. Iran has threatened to close the strait for transportation after US strikes at Iranian nuclear facilities.
The strait connects the Persian Gulf with the Oman Bay and the Arabian Sea. The waterway handles the largest tankers in the world of crude oil and is considered one of the most important points of oil in the world, according to Energy Information Administration (EIA).
Gas pump fills a vehicle at the Chevron petrol station on December 05, 2022 in Houston, Texas. (Brandon Bell / Getty Pictures / Getty Pictures)
Exxon Mobil CEO talks about oil supply under Iran-Israeli conflict
In 2024, 20 million barrels of oil a day, about 20% of the consumption of global oil liquids, flowed through the waterway. There are also very few alternative options for transmitting the strait if it is closed, according to this.
If oil exports were affected by the strait, Lipow estimated that oil prices could easily reach $ 100 a barrel, which would raise gas prices by about 75 cents per gallon from recent levels. There were also predictions that oil could rise to $ 120 and $ 130 a barrel. If so, gas prices would rise by $ 1.25 per gallon.
Prices at the Mobil gas station in Los Angeles, California, USA, on Tuesday, April 2, 2024. (Eric Thayer / Bloomberg through Getty Images / Getty Images)
Meanwhile, Phil Flynn, an energy market analyst and a business business business, has entrusted Iran’s neutralization of Iran’s nuclear program to remove a significant amount of geopolitical risk from oil prices, noting that this has “emerged in gas prices”.
Get the fox business on the go by clicking here
Flynn also said the administration created a more environmental environment, with Trump signaling a market change to more favorable regulations. He pointed to more realistic plans for oil production and potentially accelerating the permitted refinery, which he said could result in significant long -term prices for gas prices.
“This will be a great victory for consumers as inflation continues to descend,” he added.
Source link
