LONDON (Reuters) - The world oil market will recover gradually from the closure of the Strait of Hormuz before tipping into a significant surplus in 2027, the International Energy Agency said in its monthly oil market report on Wednesday.
The U.S. and Iran reached an agreement to end the three-month-old war, which includes Iran reopening the Strait of Hormuz and the U.S. lifting its naval blockade, potentially bringing an end to the largest oil supply disruption in history which shut in over 14 million barrels per day of Middle East oil output, according to the IEA.
"If the deal holds, exports and production from the Gulf should see a gradual recovery – not least because Iranian oil exports can fully resume once the U.S. blockade is lifted," the agency, which advises industrialised countries, said. The oil market will then enter a significant supply overhang next year, the IEA said in its first look at 2027, with global oil supply set to surge by 8 million bpd and demand rising by just 2 million bpd.
"This may provide a welcome respite to the market and an opportunity to replenish depleted inventories, or to build new strategic reserves, as countries review their energy strategies and policies in response to the crisis."
‘Israel commits war crime of unlawful transfer’ in Lebanon: Amnesty International
Amnesty International warns that the Israeli army’s mass forced displacement orders in Lebanon amount to “war crimes” under international law, AlJazeera reports.
“In parts of southern Lebanon, the Israeli military’s forced displacement of civilians and prevention of their return amounts to unlawful transfer, which is a war crime,” the report has said, citing the UK-based rights group.
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It made the remarks in a statement, outlining findings from its investigation into Israeli military orders.
It said the Israeli army has “radically expanded” its use of such orders, displacing hundreds of thousands of people across Lebanon.
“Instead of forcibly uprooting communities and designating entire swathes of Lebanese land as no-go zones for civilians, Israeli forces must immediately withdraw from Lebanese territory,” said Kristine Beckerle, Amnesty International’s deputy regional director for the Middle East and North Africa.
According to the group’s statement, the Israeli military declared about 4.6 per cent of Lebanon a no-go zone on November 28, 2024, a day after a previous ceasefire took effect.
It added that in 2026, just three days after an April 17 ceasefire announcement, the restricted area was expanded to about 6 percent of the country, designated a “Forward Defence” zone, with residents ordered not to return to multiple villages that were previously home to tens of thousands of civilians.