Abuja is 6,000 kilometres away from the Strait of Hormuz. Yet your petrol pump tells a different story.
On February 28, 2026, American and Israeli warplanes struck Iran in a coordinated assault named Operation Epic Fury. Within two days, Iran sealed off the Strait of Hormuz entirely.
Twenty million barrels flow through that narrow waterway each day. That represents a fifth of all oil traded by sea globally.
Iranian Revolutionary Guards began attacking cargo vessels immediately. They planted underwater mines and warned all ships to stay away.
What happened next shocked economists who had studied worst-case scenarios. The theoretical became real on March 4.
The International Energy Agency called it history's biggest oil supply shock. Global production dropped by 10.1 million barrels daily within weeks.
Before fighting erupted, crude sold for $55 per barrel. It rocketed past $120 as traders feared worse damage ahead.
Wood Mackenzie analysts warned $200 per barrel wasn't impossible. This wasn't just a price spike—it was structural collapse.
In 2024, Asia received 84 percent of all crude through that strait. China alone imported a third of its oil that way.
Japan sourced 94 percent of its crude from Middle Eastern suppliers. India relied on the region for nearly 60 percent of its needs.
When the strait closed, supply chains snapped rather than bend. Pakistan, Bangladesh, and Vietnam faced crippling fuel shortages within days.
Bangladesh now faces recession-like economic conditions. In India, ceramic factories in Gujarat shut down, and Mumbai restaurants couldn't operate normally.
Tokyo released 80 million barrels from emergency reserves in March. That covered just 15 days of the nation's oil demand.
Europe wasn't spared either. The IEA reported that Middle Eastern disruptions devastated natural gas markets and slashed LNG availability worldwide.
Gas prices are expected to stay elevated through 2027. Markets remain dangerously tight across continents.
One nation has thrived amid the chaos. The United States, as an energy superpower, benefited enormously from surging prices.
American crude and refined product exports hit 12.9 million barrels daily by April 2026. US shale producers, long squeezed by cheap oil, now run at maximum output.
Trump's attacks on OPEC suddenly look less rhetorical. They appear to be calculated energy strategy instead.
A burning Middle East with a closed strait and $120 oil rewards American energy companies. Yet it punishes American drivers at the pump.
Nigeria is pumping crude into booming global markets. The Dangote Refinery ramped up production to help meet worldwide shortages.
Government revenues and oil company profits surged. But ordinary Nigerians won't feel relief soon because transport costs jumped dramatically.
