Thursday, April 16th, 2026
US, ISRAEL, IRAN War Disrupts U.S. ENERGY Landscape
“BIG” changes are happening across the ENERGY landscape due to the US, ISRAEL, IRAN war, and it’s not just the prices jumping at the pump…
Those, too, have been climbing higher with the average price for a gallon of gas now standing at $4.09, according to AAA, UP 37% since “OPERATION; EPIC FURY” began on February 28th, 2026.
A barrel of WTI (CL1:COM) has INCREASED by the same percentage, climbing from $68 to the current $93/bbl.
The U.S. has nearly transformed into a “NET” CRUDE EXPORTER for the first time since WORLD WAR II!!!
Exports last week climbed to 5.2M barrels per day, the highest level in seven (7) months, and imports were slightly above that level, with the gap narrowing to just 66,000 bpd. The U.S. still imports a “MASSIVE” amount of crude since U.S. refineries were set up decades ago to process imported heavier “SOUR” grades, rather than the domestic light “SWEET” crude that has been gushing since the FRACKING revolution in the 2000s.
ATTACKS on REGIONAL ENERGY INFRASTRUCTURE and the CLOSURE of the STRAIT of HORMUZ led to the loss of 10.1M bpd of supply in March (2026), according to the INTERNATIONAL ENERGY AGENCY (IEA), which called it the “LARGEST OIL SUPPLY DISRUPTION IN HISTORY”.
U.S. crude benchmark WTI is now gaining prominence as a more secure alternative to MIDDLE EASTERN barrels, with traders avoiding “CONFLICT ZONES” and refiners looking for alternative sources.
GLOBAL OIL companies are set to generate “BILLIONS” of dollars in “PROFIT” from the current situation, as well as U.S. giants like ExxonMobil (XOM), Chevron (CVX) and ConocoPhillips (COP)!!!
While they are generating more “PROFIT” per barrel, it is still a “HIGH PRICE”/”HIGH RISK” environment, where SUPPLY CHAIN DISRUPTIONS can wipe out gains, as well as disruptions preventing the PHYSICAL DELIVERY of cargoes and INCREASED “OPERATIONAL” and/or “HEDGING” COSTS.
The return of “CASH” to shareholders might be a bigger focus than massive production spikes, so let’s pay close attention when the ENERGY “BIG BOYS” report EARNINGS (ERs) at the end of this month (April 2026).
BULL/BEAR WE DON’T CARE…
YOU, ME, WE our “BELOVED” ATWWI FAMILY will be poised to monetize whatever situation/outcome occurs and get “P.A.I.D.”!!!
PEACE & BLESSINGS
Kenneth Reaves, Ph.D.