Brent crude oil prices have fallen from above $120 per barrel in late April to around $87 per barrel, as Gulf producers, particularly Kuwait, Qatar, the United Arab Emirates, and Saudi Arabia, have cooperated to address tight supply using a shuttling technique—short-haul transport through the Strait of Hormuz to safe points in the Gulf of Oman, where oil is transferred ship-to-ship to conventional tankers. The UAE was the first to adopt this, followed by Saudi Arabia, Kuwait, and Qatar. Kuwait used its own fleet of 11 VLCCs, disabling positioning signals for over two months to conceal their movements, while Qatar partnered with TotalEnergies for ship-to-ship transfers outside the strait. As a result, the volume of oil flowing through the Strait of Hormuz has recovered to 7-8 million barrels per day, or about 75% of pre-war levels, with some periods reaching nearly 10 million barrels per day. Kuwait and Qatar have managed to restore up to 70% of their normal export volumes, from a combined baseline of about 2 million barrels per day. This success has helped ease panic in global energy markets and maintain oil price stability, despite ongoing security risks in the Strait of Hormuz and stalled negotiations between Tehran and Washington.
TotalEnergies SEQatar partners with TotalEnergies for ship-to-ship transfers, boosting its logistics business.
