Analysts on Monday warned that global oil prices could continue to increase due to the crisis in the Middle East, raising concerns about long-lasting issues with oil extraction and transport disruptions in the Strait of Hormuz. The former head of the International Energy Agency's oil division, Neil Atkinson, highlighted that energy markets have never experienced a full closure of the Strait of Hormuz, which is crucial for oil transportation. He stated in an interview with CNBC that if the situation does not change soon, "we are facing a critical and unprecedented energy crisis."

Atkinson explained that Iraq and Kuwait have already started to halt oil extraction and that a similar scenario could unfold for the United Arab Emirates and Saudi Arabia if the Strait of Hormuz remains closed for an extended period. He pointed out that there are oil reserves available globally, but if the Strait is closed for a long time and those reserves are depleted from use, we could find ourselves in a situation where oil extraction effectively stops in Iraq and even in other key producing countries.

The ramifications of such a crisis could be significant, not only for oil-producing nations but also for global energy markets, leading to increased fuel prices worldwide and possible economic repercussions. This situation necessitates close monitoring and potential diplomatic efforts to resolve the instability in the Middle East to prevent severe disruptions in oil supply.