Russian expert: US pressure may lead to closing of strait of Hormuz

Baku. 5 November. REPORT.AZ/ If the US increases pressure and achieves reduction in export of Iranian oil through the third countries, the Iranian government may take certain tough steps and close the strait of Hormuz, senior expert at Russia’s National Energy Security Fund and Institute of Finance under the government Stanislav Mitrakhovich told Report.

He also noted that reduction in Iran’s oil export will cause social hardships in the country.

"These processes may provoke Iranian authorities to tough steps such as blocking the Strait of Hormuz. In this case, there may be a threat of oil shortage and prices will grow. However, though closing of the Strait of Hormuz is possible, its probability is low," the expert said.

Senior expert at Russia’s National Energy Security Fund and Institute of Finance under the government Stanislav Mitrakhovich

These processes may provoke Iranian authorities to tough steps such as blocking the Strait of Hormuz. In this case, there may be a threat of oil shortage and prices will grow. However, though closing of the Strait of Hormuz is possible, its probability is low.

Stanislav Mitraxoviç

Senior expert at Russia's National Energy Security Fund and Institute of Finance under the government Stanislav Mitrakhovich

According to him, no serious changes are expected in the market in terms of both oil price and oil supply: "Current prices also take into account the risks related to Iran. In addition, the US announced that some countries agree to import Iranian oil in the first period. Moreover, Saudi Arabia stated that they could reach the output 12 million barrels within several months. Output is quickly increasing in the US. New oil pipelines are being constructed towards the ports, thus hindering the growth of export," the expert said.

Notably, on November 5 Washington reimposed sanctions against Tehran that existed before the signing of the JCPOA on Iran's nuclear program. These restrictive measures will mainly refer to oil export.