Energy Secretary Chris Wright said the U.S. Navy will seek to escort oil tankers through the Strait of Hormuz by the end of the month in an effort to prevent shortages from driving up prices.
“It’ll happen relatively soon, but it can’t happen now,” Wright said on CNBC in response to a question about the Navy helping tankers navigate the strait. “We’re simply not ready. All of our military assets right now are focused on destroying Iran’s offensive capabilities and the manufacturing industry that supplies their offensive capabilities.”
The secretary added that the Navy could be able to escort tankers through the trading route by the end of the month.
“I’ll be over at the Pentagon later today — that is what the military is working on,” Wright said.
The Strait of Hormuz has been effectively closed since the United States and Israel carried out strikes against Iran. The strait is a significant trading route, moving nearly 20 million barrels of crude oil daily, or about a fifth of global demand.
President Donald Trump proposed a plan earlier this month to offer financial and logistical support to all shipping lanes, including escorts by the U.S. Navy. As part of the plan, the U.S. International Development Finance Corporation said it would provide up to $20 billion in reinsurance for ships in the Gulf to ease oil and gas disruptions.
Earlier in the week, Wright had provoked huge movements in oil markets by sharing a post on X claiming that the U.S. Navy successfully escorted an oil tanker through the Strait of Hormuz. The post was quickly taken down, and the White House clarified that the U.S. Navy had not escorted any ships.
IRAN WAR CAUSING LARGEST DISRUPTION OF OIL IN HISTORY, INTERNATIONAL ENERGY AGENCY SAYS
The halt of traffic through the strait has caused oil prices to remain elevated. There have been several reports of vessels being attacked as they attempt to move through the Persian Gulf.
However, the closure does not appear likely to end anytime soon, as Iran’s new supreme leader, Mojtaba Khamenei, said Thursday the regime would continue to block the passageway.
