JAKARTA - Kuwait Petroleum Corporation reduced crude oil production following delivery disruptions in the Strait of Hormuz.
"We are forced to cut production due to the insecurity of the shipping route in the strategic waterway, this situation is a serious escalation that threatens the stability of the global energy market," according to the company's statement as reported by ANTARA from Anadolu, Wednesday, March 25.
The company also said it could resume production "relatively quickly" if the Iran war ended and could reach full production within 3-4 months, but did not disclose new production levels.
On March 10, Kuwait cut its oil production to about 500,000 barrels per day, down sharply from more than 3 million barrels per day before the US-Iran war broke out.
Following the US and Israeli attacks on Iran, the Strait of Hormuz has been experiencing shipping disruptions since early March. The route has become a strategic shipping route for about 20 million barrels of oil every day, and the disruptions have increased shipping costs and pushed global oil prices to soar.
Regional escalation has continued to flare since the US and Israel launched a joint attack on Iran on February 28, which has so far killed more than 1,340 people, including then Supreme Leader Ali Khamenei.
Tehran retaliated with drone and missile attacks targeting Israel, as well as Jordan, Iraq, and Gulf states hosting US military assets, causing casualties and infrastructure damage as well as disrupting markets and global flights.
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