Oil prices have fallen to levels not seen since before the Iran war

Oil prices have fallen to levels not seen before the Iran war as traffic on the key shipping route of Hormuz continues to slow.

Global benchmark Brent crude fell below $72.48 ($55) a barrel. This price reached as high as $72.63 before the United States and Israel attacked Iran on February 28.

Energy prices have been on a wild ride since Iran responded to the attack by effectively closing the coast, which is critical for oil and gas shipments.

Crude prices have been falling sharply since the US and Iran signed. Memorandum of Understanding (MOU) He set a 60-day deadline to end Tehran’s nuclear program and other hostilities.

Representatives of the two sides met in Switzerland last weekend to try to end the war, which resulted in the partial lifting of US sanctions on Iran’s oil exports.

The number of ships crossing the Strait of Hormuz has increased significantly. Since the signing of the MOU agreement, the maritime intelligence agency Kpler.

Ships passing through the waterway in recent days have been carrying crude oil, liquefied natural gas (LNG), fertilizer and other commodities, Kepler told the BBC.

The United States and Iran have established a “line of communication” to prevent disputes “with the aim of providing safe passage for commercial ships through the Strait of Hormuz,” mediators Qatar and Pakistan said in a joint statement on Monday.

Dimitris Maniatis, chief executive of Marix, a maritime risk consultancy that works with stranded vessels in the region, said there had been a “tremendous change” in recent days, with more vessels using the moorings.

His company estimates that around 80 ships have crossed the Strait of Hormuz since Monday, the first round of US-Iran peace talks in Switzerland.

Certain ships can cross the northern passage with the permission of Iranian authorities, he said.

The U.S. Navy instructed the ships to travel along a southern route protected from mines and other post-war obstacles, Manitis said.

But the number of ships crossing the coast is still below pre-war levels, when more than 100 ships a day used it.

It appears that hundreds of ships are still waiting in the Gulf.