đ¨ PRESSURE BUILDING â Iran Is Running Out of Space
Iran is running out of places to store oil as exports remain blocked.
Tankers are now being used as floating storage,
while old and improvised tanks in hubs like Ahvaz and Asaluyeh are being pushed into service.
Some shipments are even being sent to China by rail â
a rare and inefficient method in the oil industry.
âł Why This Matters
When oil canât be exportedâŚ
storage fills.
When storage fillsâŚ
production must slow.
And if production stops suddenly,
oil fields can suffer long-term damage thatâs hard to reverse.
đ Bigger Picture
This isnât just Iranâs problem.
Oil exports have already dropped sharply due to the blockade,
raising fears of production cuts and pressure on global energy markets.
Because when oil gets trappedâŚ
prices rarely stay calm.