Iran and the US
Speaker 2: [00:01:16] if we take the numbers, 400 million barrels roughly equals about the 20 days of oil normally. Passing through the Strait of Hormuz. But those reserves are released slowly and they cannot fully replace Gulf exports. What they do instead is buy time. So countries like Saudi Arabia and the United Arab Emirates have infrastructure, specifically energy infrastructure that can bypass this trade and export oil through the Red Sea or Gulf of Oman, but rerouting shipment takes time. And we see that right now 27 very large crude carriers current on the on the way to the Red Sea and they will be shipping crude oil from from from that part of Saudi Arabia. So this is this is one thing which is important to understand. The second thing there is of course a political signal here by coordinating a reserve release major consuming countries demonstrate their readiness to act together to stabilise energy market and probably we can say reduce the geopolitical leverage of supply disruption. And at the same time, the scale of the release may also reflect concerns that the crisis could last longer than a few days, prompting that probably governments to prepare for more prolonged destruction. So overall, I would say simple terms, strategic reserves, access shock absorbed for the oil market, calming prices and buying time while shipping routes adjust and geopolitical situation becomes more clear. [00:02:48][92.3]