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The CEO of Shell stated that it is "very cautious" about shipping around Iran.
According to the Gate News bot, Bloomberg reported that Shell is one of the largest oil and gas traders, and the company's CEO stated that due to the conflict between Israel and Iran, the company is "very cautious" about shipping in the Middle East.
CEO Wael Sawan stated at the Japan Energy Summit and Exhibition held in Tokyo on Thursday, "What is particularly challenging right now are some of the disruptions that are occurring," referring to the disruptions in navigation signals in the Persian Gulf and surrounding areas.
The shipping in the Strait of Hormuz is under strict surveillance, as this waterway is a passage for about 25% of global oil trade and 20% of liquefied natural gas transport. Although the waterway remains open, signal interference poses a significant obstacle to vessel passage.
"If this artery is blocked, for whatever reason, it will have a huge impact on global trade," Savan said. "We have already developed a plan to respond to the worsening situation."
Traders, including Shell, are closely monitoring the Strait of Hormuz, which has intensified the volatility of oil and gas futures. Qatar has requested tankers to wait outside the strait until they are ready to load, while the Japanese shipping company Nippon Yusen Kabushiki Kaisha has instructed its vessels to maintain a safe distance from the coast while navigating in Iranian waters.