Iran is running out of oil storage capacity, with only around 12–22 days of storage left.

Axar.az informs, citing Bloomberg, that due to a U.S. maritime blockade, exports have fallen by around 70%, and shipments through the Strait of Hormuz have nearly come to a halt, with no tankers able to pass.

If the situation continues, Iran could be forced to cut oil production by a further 1.5 million barrels per day by mid-May.

However, the financial impact is not expected to be immediate, as oil deliveries to buyers and payment processes take time. This delay could give Iran a few additional months of breathing room despite rising supply constraints.