Norway’s national oil company’s profits double to $11.5bn amid war on Iran

What Happened

Norway's state oil company Equinor reported adjusted profits of $11.5 billion for Q2, nearly double the $6.5 billion from the same period last year, as the war against Iran disrupted oil shipments. The near-halt to shipping through the Strait of Hormuz slashed Gulf oil flows, while Brent crude prices swung between $75 and over $100 per barrel between April and June. The US military launched its 11th night of strikes on Iran, targeting aircraft hangars and drone storage sites, undermining hopes for an interim ceasefire. Yemen's Iran-aligned Houthis (Ansar Allah) declared a naval blockade on Saudi Arabia, threatening the kingdom's Red Sea pipeline exports.

Key Actors

Why It Matters

The Strait of Hormuz and Red Sea are critical chokepoints for global oil supply. The effective closure of Hormuz and the new Houthi blockade on Saudi Arabia risk tightening global energy markets further, driving up prices and generating windfall revenues for non-Gulf producers like Norway's Equinor. The US-Iran conflict shows no sign of de-escalation, and the Houthi move broadens the maritime front, threatening Saudi economic stability and deepening the regional proxy war.

Watch For

Monitor whether US strikes on Iran persist or a diplomatic breakthrough revives the interim ceasefire. The Houthi blockade's enforcement and Saudi Arabia's ability to maintain Red Sea exports will be critical. Any further escalation could push oil prices above $100 and prompt international naval intervention.