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No major oil price spike expected due to Middle East conflict — expert

CEO of Navigator Principal Investors Kyle Shostak says that the main importer of Iranian oil, China, will substitute the volume "rather quickly"

NEW YORK, March 1. /TASS/. Oil prices will grow in the near term in the light of the conflict in the Middle East but no huge spike in prices should be expected, CEO of Navigator Principal Investors Kyle Shostak told TASS.

"Oil contracts on the Hyperliquid decentralized exchange have grown by 6% today [on Saturday - TASS] to about $71 per barrel, while gold and silver edged up by 7-8%. This is the first reaction of OTC markets to the start of combat operations. If the already announced closing of the Strait of Hormuz is observed, we will see further growth of oil prices when key exchange commodities open on Monday. However, I do not forsee a dramatic surge of oil prices because Iran is at the moment only the seventh oil producer globally with the volume of 4.6 mln barrels daily," Shostak said.

China is the main buyer of Iranian oil and will be able to substitute such supplies by alternatives rather quickly, the chief executive added.