80% of gas execs expects Strait of Hormuz to open H2 2026 earliest; Yara CEO says crude derivatives already impact petrol chemicals

>Oilfield services firm Baker Hughes assumes in its financial guidance that the Strait of Hormuz may not reopen for months. A Dallas Fed Energy survey of oil and gas executive found nearly 80% believe the strait will not reopen until August or later. Baker Hughes CEO Lorenzo Simonelli said oil and LNG prices will face “persistent risk premiums.” The Federal Reserve Bank of Dallas found in a survey of nearly 100 oil and gas executives that nearly 80% believe the strait will not reopen until August or later. More than 80% of executives who responded see future disruptions in the strait as somewhat or very likely, the [Dallas Fed Energy](https://www.dallasfed.org/research/surveys/des/2026/2601/2601update) survey found. >Baker Hughes CEO Lorenzo Simonelli said “geopolitical risk has become a structural reality for oil and gas markets” after the Iran war. The closure of the strait has impacted 10% of global oil volumes and knocked offline 20% of global liquified natural gas (LNG) supplies, Simonelli said. This will likely to result in [“persistent risk premiums](https://www.cnbc.com/2026/04/24/jp-morgan-oil-prices-higher-iran-war.html) for oil and LNG prices,” the CEO said. Source: [https://www.cnbc.com/2026/04/24/strait-hormuz-baker-hughes-iran-war-oil-lng.html](https://www.cnbc.com/2026/04/24/strait-hormuz-baker-hughes-iran-war-oil-lng.html) **Key point:** \- half a million ton of urea lost every week or 10B meals lost every week. \- Nitrogen cost has hit the company in several areas. The main input for nitrogen and urea is LNG which has also experienced a significant increase in supply cost. Supply chain will rewire in the years ahead, adding to end cost for consumers; price floor will increase to accommodate for the recognition of food insecurity risk. Source: [https://www.cnbc.com/video/2026/04/24/middle-east-war-hitting-across-the-whole-food-chain-says-yara-ceo.html](https://www.cnbc.com/video/2026/04/24/middle-east-war-hitting-across-the-whole-food-chain-says-yara-ceo.html) Asian battery manufacturers impacted by severe supply shortage, price shocks of crude derivatives (sulfuric acid) and higher copper cost, on top of South Korea petrochemical giants ceasing or cutting production output. Source: [https://www.asiatechlens.com/p/hormuz-battery-petrochemical-supply-chain](https://www.asiatechlens.com/p/hormuz-battery-petrochemical-supply-chain) Source: [https://news.chemnet.com/news-3771.html](https://news.chemnet.com/news-3771.html) Source: [https://www.icis.com/explore/resources/news/2026/03/24/11191196/insight-s-korea-petrochemical-industry-enters-conservation-mode-amid-naphtha-shortage/](https://www.icis.com/explore/resources/news/2026/03/24/11191196/insight-s-korea-petrochemical-industry-enters-conservation-mode-amid-naphtha-shortage/) **The ground - zero materials for lithium - ion batteries:** **sulfuric acid** **-** refining of nickel \- required for etching \- required for leaching and smelting to produce copper \- required for lithium extraction and silicon purification (certain batteries are doped with silicon to improve material specification) \- agricultural giants are muscle bidding prices of sulphur (the progenitor for sulphuric acid) and sulphuric acid for agricultural chemical products like fertilisers. **naphtha** \- required for plastic and packaging https://preview.redd.it/8opkbd7xgaxg1.png?width=1221&format=png&auto=webp&s=d4f6e91778c81688a11c6c861fcf07eb3ce0d178 https://preview.redd.it/cbrxlf7xgaxg1.png?width=1323&format=png&auto=webp&s=bc7c390d9c4e925db89553e34973da7efafa5f00