---
title: "Shell CEO Says Oil Market Faces Nearly 1 Billion Barrel Shortage Due to Iran War"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/285633028.md"
description: "Shell CEO Wael Sawan announced that the global oil market is facing a shortage of nearly 1 billion barrels of crude due to the ongoing conflict in Iran. He noted that the supply deficit is worsening daily, with significant volumes lost through locked-in or unproduced barrels. The impact is already visible in the refining market, particularly affecting sectors like aviation. The future demand weakness remains uncertain and will depend on the conflict's evolution. Disruptions linked to the Iran conflict have affected up to 15% of global crude supplies."
datetime: "2026-05-07T22:45:00.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/285633028.md)
  - [en](https://longbridge.com/en/news/285633028.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/285633028.md)
---

# Shell CEO Says Oil Market Faces Nearly 1 Billion Barrel Shortage Due to Iran War

06:45 PM EDT, 05/07/2026 (MT Newswires) -- Shell (SHEL) CEO Wael Sawan said the global oil market faces a shortage of nearly 1 billion barrels of crude due to the ongoing Iran conflict, warning that the supply deficit is "deepening every single day."

Speaking during Shell's first-quarter earnings call on Thursday, Sawan said the market has lost significant volumes either through "locked-in barrels or unproduced barrels," adding that the recovery process would take time.

He said Shell was already seeing the impact across the refining market, with some demand destruction emerging in sectors such as aviation.

Sawan added that the extent of future demand weakness remained uncertain and would depend on how the conflict evolved in coming months.

The comments come as disruptions linked to the Iran conflict continue to tighten global crude and fuel markets, particularly around the Strait of Hormuz, a key route for oil and LNG shipments.

Shell executive said up to 15% of global crude supplies have been disrupted by the conflict.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

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