White House Refutes Energy Secretary's Erroneous Claim of US Navy Escorting Tankers in Strait of Hormuz

Deep News03-11

The White House has stated that the US Navy is not escorting tankers through the Strait of Hormuz, clarifying an earlier social media post by Energy Secretary Chris Wright that was subsequently deleted.

White House Press Secretary Caroline Levitt told reporters on Tuesday, "I know that post was taken down very quickly, and I can confirm that the US Navy is not currently escorting tankers or vessels. Of course, the President has previously committed that he would absolutely exercise that option if necessary."

Wright's post on the X platform, which included a video, initially contributed to a further decline in global oil prices. After the post vanished approximately 15 minutes later, oil prices recovered some of their losses.

Crude oil prices had surged on Monday due to concerns that a blockade of the Strait of Hormuz would hinder petroleum exports. However, prices fell sharply on Tuesday after former President Trump stated that the Iran war would be resolved soon and that he was considering options to address crude supply, including a release from emergency reserves.

The deleted post had read: "The US Navy successfully escorted a tanker through the Strait of Hormuz, ensuring the continued flow of oil to global markets."

The post also contained a video of Wright speaking at a recent event, where he said, "Approximately 36 hours ago, a large tanker transited the strait. I think you'll see more examples of this going forward."

Since the outbreak of the Iran war, nearly all commercial activity through the Strait of Hormuz has halted due to shipowners' safety concerns. Tankers have been unable to leave the Gulf, and oil-producing nations have been forced to significantly cut production as their storage facilities have reached capacity.

Saudi Arabia, Kuwait, Iraq, and the UAE have each reduced their daily oil output by millions of barrels, making the restoration of normal transit through the vital waterway an urgent priority. Some tanker owners have previously indicated they would resume voyages if a naval escort plan were provided.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment