The nearly two-month conflict involving the US, Israel and Iran has severely disrupted global energy markets, wiping out tens of billions in oil output and creating one of the largest supply shocks in modern history. 

Fatih Birol, International Energy Agency (IEA) chief, described the situation as unprecedented, stating: “This is indeed the biggest (energy) crisis in history,” in an interview with France Inter, as reported by Reuters. 

He added: “The crisis is already huge, if you combine the effects of the petrol crisis and the gas crisis with Russia.”

According to a Reuters report citing analysts and its own calculations, over $50 billion worth of crude has gone unproduced since late February. 

Data from Kpler shows more than 500 million barrels of crude and condensate have been removed from global supply, underscoring the scale of the disruption.

Iain Mowat, Principal Analyst at Wood Mackenzie, said the loss is equivalent to halting global aviation for 10 weeks or eliminating all road travel worldwide for 11 days. 

Gulf Arab states alone lost around 8 million barrels per day  (bpd) in March, while jet fuel exports from key producers dropped sharply, according to Kpler. 

Johannes Rauball of Kpler estimated the missing volumes equate to roughly $50 billion in lost revenue.

The conflict has disrupted shipping through the Strait of Hormuz and compounded existing strains from Russia’s war in Ukraine. 

The IEA has released 400 million barrels from reserves to stabilise markets.

Birol warned recovery could take two years and cautioned that prolonged disruption would drive significantly higher energy prices.