• IEA chief warns of a major threat to the global economy due to energy crisis.
• The Strait of Hormuz is a critical transit route for 20% of global oil and gas.
• At least 40 energy facilities in the region have been severely damaged.
• Oil prices have surged, with US benchmark crude nearing $100 per barrel.
• Global collaboration is essential to resolve the ongoing crisis, according to IEA.

The global economy is currently under "major threat" from the energy crisis stemming from the ongoing Middle East war, according to International Energy Agency (IEA) chief Fatih Birol. He emphasized that "no country will be immune" to the repercussions of this crisis, likening its severity to two oil crises and one gas crash combined, reminiscent of the disruptions seen in the 1970s and the aftermath of Russia's 2022 invasion of Ukraine. "This crisis as things stand is now two oil crises and one gas crash put all together," Birol stated at the National Press Club in Sydney Channel News Asia, India Times, and Bangkok Post.

As the conflict progresses into its fourth week, oil prices have surged, with US benchmark crude reaching nearly $100 per barrel. This spike reflects the severe impact of the crisis on global oil supplies, primarily due to the blockage of the Strait of Hormuz, a vital passage for approximately 20% of the world's oil and gas shipments. Birol expressed concerns regarding the damage to energy infrastructure, noting that at least forty facilities across nine countries have been "severely or very severely damaged" due to the ongoing conflict India Times and Bangkok Post.

Birol stressed the necessity of global efforts to mitigate this crisis, urging for immediate action to reopen the Strait of Hormuz. "No country will be immune to the effects of this crisis if it continues to go in this direction," he warned, as tensions escalate between the US and Tehran, with threats exchanged regarding the reopening of the waterway Channel News Asia, India Times, and Bangkok Post.