Key facts
- Rosneft CEO Igor Sechin stated U.S. energy companies benefit from Strait of Hormuz closure.
- Sechin claims Washington seeks to alter global energy markets for U.S. interests.
- Sechin warned that continued tensions in the Strait of Hormuz undermine long-term oil demand.
- Sechin noted OPEC+ potential has diminished due to member withdrawals.
- Sechin predicted oil prices could fall to $80-$85 by the end of 2025 if the Strait opens.
Rosneft Chief Executive Igor Sechin stated that U.S. energy companies are the primary beneficiaries of a closure of the Strait of Hormuz, suggesting that Washington aims to reshape global energy markets to its advantage. He warned that prolonged tensions in this critical shipping artery, through which a fifth of global oil supplies pass, would undermine long-term oil demand and potentially spur interest in alternative energy sources. Sechin also commented on the diminished potential of the OPEC+ group, citing withdrawals by member nations such as the United Arab Emirates, Qatar, and others, leading to a significant drop in the alliance's production over the past decade. He predicted that if the Strait opens soon, oil prices could fall to $95-$96 per barrel by year-end and to $80-$85 within a year, returning to market fundamentals by mid-2027. Sechin also touched upon broader global issues, including militarization, financial market bubbles, and looming shortages of electricity, food, metals, and water.