Is an oil crisis on the horizon? Statement from Minister Bayraktar

Following Israel's strike on the Shahid Tondguyan Oil Refinery south of the Iranian capital Tehran, Iran also targeted oil refineries in the Israeli city of Haifa. While the reciprocal attacks triggered concerns regarding global oil supply, there were sudden spikes in energy prices.

As the Iran-Israel tension in the Middle East puts energy markets on alert, a critical statement came from Turkey's Minister of Energy and Natural Resources, Alparslan Bayraktar.

WILL TURKEY BE AFFECTED?

According to a report by Sputnik, Bayraktar stated that Turkey is not experiencing a supply problem and said the following:

“It is possible that this could create a negative situation regarding global supply. Prices have already reacted immediately. They are rising a bit. Could they go even higher? They could. But we do not see a problem on the supply side. Turkey has not been purchasing any oil from Iran since 2019. There is a crude oil supply that comes to Turkey from Basra, passing through the Strait of Hormuz. According to last year's figures, it is around 20 percent. We need to substitute that somehow.”

Providing information on whether Turkey's domestic production would meet this need, Bayraktar continued his words as follows:

“We are meeting 8 percent of our oil needs from Gabar. But of course, these can be substituted. The most significant impact on us here would be the increase in the import item in macroeconomic terms. Oil, which was at 60 dollars, has risen to 76 dollars. There will be a similar reflection on natural gas. Natural gas prices could also go up. We do not see any issues with supply security. We receive gas from Iran, we do not receive oil. We do not see any problems with gas either.”

News Source: 12punto