SEATTLE (Oil Monster): Kuwait Petroleum Corporation (KPC) has declared force majeure on crude oil and refined product shipments due to ongoing disruptions in the Strait of Hormuz, according to reports.
KPC informed customers of the decision last Friday, invoking the contractual clause that allows suspension of obligations under extraordinary circumstances. The move follows escalating regional tensions, including reported attacks on Kuwait and explicit threats from Iran targeting vessels transiting the Strait. Additionally, the near absence of available tankers in the Gulf has severely constrained shipping operations.
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Despite the declaration, supply disruptions are not expected to result in a complete halt of exports. Sources familiar with the matter indicate that while deliveries may be delayed or reduced, Kuwait is working to maintain some level of shipments under current constraints. KPC has not issued an official public comment on the development.
The situation reflects broader instability in the region, as the ongoing conflict involving the U.S., Israel, and Iran has significantly reduced maritime traffic and impacted oil, gas, and refined product output across Gulf producers, tightening global energy markets.
Analysts warn that prolonged disruption in the Strait could further elevate oil prices and strain global supply chains.
