Oil prices plunge as Iran opens Strait of Hormuz during ceasefire
Brent crude fell below $90 a barrel after Iran declared the strategic waterway completely open for commercial traffic during the Israel-Lebanon ceasefire.
Satellite images reveal an oil spill near Iran's key energy hub, spreading across 20 square miles between May 6 and 8.
4:41 PM
Satellite photographs have revealed an oil slick off Kharg Island in the Strait of Hormuz, raising concerns about Iran's central energy production facility located there.
Between May 6 and 8, the spill expanded to cover approximately 20 square miles within the channel, according to representatives from Orbital EOS, a global oil spill monitoring service, who spoke to The New York Times. The volume of oil lost during this period amounted to as much as 3,000 barrels.
The cause of the spill remains unclear. The United States has conducted strikes against Kharg Island during its conflict with Iran, though the most recent military actions occurred in early April, well before the spill was detected.
Dalga Khatinoglu, an Iranian energy expert, suggested two possible sources for the leak. Large volumes of crude oil stored in tankers at the facility are increasing spill risks, according to Khatinoglu. Additionally, a possible rupture in the old undersea pipeline connecting to the Abuzar field could be responsible for the discharge.
Kharg Island serves as a central hub for Iran's oil production and export operations. The facility's infrastructure includes storage tanks and pipeline systems that transport crude oil through the Strait of Hormuz, one of the world's most critical shipping channels for global energy supplies.
Brent crude fell below $90 a barrel after Iran declared the strategic waterway completely open for commercial traffic during the Israel-Lebanon ceasefire.
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