The increase in Iranian oil reserves stored on tankers is allowing China to cushion the effects of a potential U.S.-driven Hormuz blockade. Energy market analysts warn that these inventories could sustain supply for several weeks.
Floating Inventories Reach Key Levels
According to recent data, the volume of Iranian crude stored in floating depots exceeded 38 million barrels in mid-April, marking its highest level since January. Much of this oil is located in tankers near the Chinese coast.
Furthermore, this floating storage has become a strategic mechanism to guarantee energy supply in scenarios of maritime transit disruption. The Strait of Hormuz is one of the most critical routes for global oil trade.
Chinese Refineries Depend on Iranian Crude
Independent refineries in Shandong province have maintained a strong dependence on Iranian oil for years. In this context, current reserves allow these facilities to maintain operations as long as restrictions persist in the region.
Likewise, analysts estimate that cargoes already outside the Middle East could supply these refineries for approximately two and a half months. This capacity reduces immediate pressure on the supply chain.
Hormuz Blockade and Geopolitical Tensions
The U.S. blockade has heightened tensions surrounding maritime transit in the region. However, recent reports indicate that some vessels continue to cross the Strait of Hormuz.
An example is the Rich Starry oil tanker, linked to a sanctioned Chinese company, which managed to traverse the strategic passage. This type of movement highlights the complexity of effective control over the route.
China Reaffirms Its Energy Relationship with Iran
Chinese authorities have reiterated their intention to maintain energy agreements with Iran. Beijing has insisted that the Strait of Hormuz remains operational for its commercial interests.
In parallel, this stance reflects the importance of Iranian crude within China’s energy security strategy. The combination of stored reserves and active routes allows the country to manage market disruptions with greater flexibility.
Source: Oil Price
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