Wright attributed the gains to "coordinated efforts of the U.S. military and our Gulf allies" that have helped restore security and throughput . Yet behind the headline claim lies a more complex picture: satellite data contradicts the administration's numbers, Iraq's oil sector is in tatters, and even Chevron's CEO has publicly pushed back. Here is what the numbers really show.

The Evidence Behind the Recovery

Supporting evidence for the recovery includes several independent sources. Exports via alternative pipeline routes — Saudi Arabia's East-West pipeline (to Yanbu on the Red Sea), the UAE's Habshan–Fujairah pipeline, and Iraq's ITP pipeline to Ceyhan, Turkey — had increased to 7.2 million bpd from under 4 million bpd before the war, according to the International Energy Agency . The IMF noted that the oil market has become "less volatile" to Hormuz disruptions because Gulf producers have developed alternative export capacity . Loadings at Yanbu (Saudi Arabia) and Fujairah (UAE) surged since March 2026, helping keep some Middle East crude moving despite the chokepoint disruption . Rystad Energy reported that shut-in crude production in the region fell to 9.6 million bpd, down from a peak of 11.7 million bpd, and expected output to return to prewar levels by the end of 2026 .

Alternative Routes: The Pipelines Bypassing Hormuz

The recovery is heavily dependent on two major pipeline systems that bypass the Strait of Hormuz. Saudi Arabia's East-West pipeline, which runs for 1,200 kilometers from the kingdom's eastern oil fields to the Red Sea port of Yanbu, has become the most critical alternative . The UAE's Habshan–Fujairah pipeline (ADCOP) provides a second major bypass to the Gulf of Oman . These two pipelines together have a combined capacity of roughly 9 million bpd, compared to the approximately 20 million bpd that normally transits the strait . Iraq has also attempted to utilize its ITP pipeline through Turkey, but volumes remain constrained by war damage and security threats along the route .

Production Gaps: Iraq's Collapse

The most significant gap in the recovery narrative is Iraq. Iraqi crude supply plummeted by 3 million bpd month-on-month to just 1.6 million bpd in March 2026, with production at major fields — South Rumaila, West Qurna-2, and Maysan — shut in due to blocked Hormuz exports and full storage . Iraq cut production by roughly 80%, and its output collapsed by more than 50% in under five months . By May 2026, Iraq pumped just 1.48 million bpd, down from almost 4.2 million bpd before the war . Baghdad aims to reach 7 million bpd within three years, but analysts are skeptical that target is achievable given war damage and infrastructure constraints .

Analyst Skepticism and Data Contradictions

Despite the administration's confident claims, significant skepticism remains. CNN reported that Wright's assertion "lacks support from visible shipping data," citing analytics firm Kpler, which uses satellite imagery and shipping transponder information. Kpler data showed only 84 vessels transiting the Strait of Hormuz in the past week, with just nine on Sunday — far below the more than 100 vessels that typically passed daily before the conflict . This suggests the recovery may be partly measured using modeled flows and pipeline volumes rather than observable vessel traffic.

In June 2026, Chevron CEO Mike Wirth publicly rebutted Wright's earlier claim of 7 million bpd flowing via alternative routes, arguing the actual volumes were smaller . The IEA reported that shipments through the Strait of Hormuz rose in early June thanks to "ship-to-ship transfers in the Gulf of Oman," lifting total flows from a May low, but acknowledged that the overall loss in oil exports exceeded 13 million bpd, with cumulative supply losses of more than 360 million barrels in March alone .

Key Factors That Will Determine Sustainability

Whether the improvement is sustainable depends on several unresolved variables. The Strait of Hormuz remains a flashpoint — any escalation between the U.S./Israel and Iran could quickly reverse gains . Alternative routes are at or near capacity, and Red Sea shipping lanes face ongoing security risks from Houthi or Iranian-aligned threats . Iraq could restore exports to pre-war levels within a week if Hormuz fully reopens, according to the Basra Oil chief , but production damage and investment gaps may delay a full rebound . Stalled diplomatic talks mean the current military-led arrangement is fragile — a diplomatic resolution would be the strongest long-term stabilizer . The IMF's assessment that the market has become "less volatile" to Hormuz disruptions is accurate only as long as alternative routes remain secure and operational .

Wright attributed the gains to "coordinated efforts of the U.S. military and our Gulf allies" that have helped restore security and throughput . Yet behind the headline claim lies a more complex picture: satellite data contradicts the administration's numbers, Iraq's oil sector is in tatters, and even Chevron's CEO has publicly pushed back. Here is what the numbers really show.

The Evidence Behind the Recovery

Supporting evidence for the recovery includes several independent sources. Exports via alternative pipeline routes — Saudi Arabia's East-West pipeline (to Yanbu on the Red Sea), the UAE's Habshan–Fujairah pipeline, and Iraq's ITP pipeline to Ceyhan, Turkey — had increased to 7.2 million bpd from under 4 million bpd before the war, according to the International Energy Agency . The IMF noted that the oil market has become "less volatile" to Hormuz disruptions because Gulf producers have developed alternative export capacity . Loadings at Yanbu (Saudi Arabia) and Fujairah (UAE) surged since March 2026, helping keep some Middle East crude moving despite the chokepoint disruption . Rystad Energy reported that shut-in crude production in the region fell to 9.6 million bpd, down from a peak of 11.7 million bpd, and expected output to return to prewar levels by the end of 2026 .

Alternative Routes: The Pipelines Bypassing Hormuz

The recovery is heavily dependent on two major pipeline systems that bypass the Strait of Hormuz. Saudi Arabia's East-West pipeline, which runs for 1,200 kilometers from the kingdom's eastern oil fields to the Red Sea port of Yanbu, has become the most critical alternative . The UAE's Habshan–Fujairah pipeline (ADCOP) provides a second major bypass to the Gulf of Oman . These two pipelines together have a combined capacity of roughly 9 million bpd, compared to the approximately 20 million bpd that normally transits the strait . Iraq has also attempted to utilize its ITP pipeline through Turkey, but volumes remain constrained by war damage and security threats along the route .

Production Gaps: Iraq's Collapse

The most significant gap in the recovery narrative is Iraq. Iraqi crude supply plummeted by 3 million bpd month-on-month to just 1.6 million bpd in March 2026, with production at major fields — South Rumaila, West Qurna-2, and Maysan — shut in due to blocked Hormuz exports and full storage . Iraq cut production by roughly 80%, and its output collapsed by more than 50% in under five months . By May 2026, Iraq pumped just 1.48 million bpd, down from almost 4.2 million bpd before the war . Baghdad aims to reach 7 million bpd within three years, but analysts are skeptical that target is achievable given war damage and infrastructure constraints .

Analyst Skepticism and Data Contradictions

Despite the administration's confident claims, significant skepticism remains. CNN reported that Wright's assertion "lacks support from visible shipping data," citing analytics firm Kpler, which uses satellite imagery and shipping transponder information. Kpler data showed only 84 vessels transiting the Strait of Hormuz in the past week, with just nine on Sunday — far below the more than 100 vessels that typically passed daily before the conflict . This suggests the recovery may be partly measured using modeled flows and pipeline volumes rather than observable vessel traffic.

In June 2026, Chevron CEO Mike Wirth publicly rebutted Wright's earlier claim of 7 million bpd flowing via alternative routes, arguing the actual volumes were smaller . The IEA reported that shipments through the Strait of Hormuz rose in early June thanks to "ship-to-ship transfers in the Gulf of Oman," lifting total flows from a May low, but acknowledged that the overall loss in oil exports exceeded 13 million bpd, with cumulative supply losses of more than 360 million barrels in March alone .

Key Factors That Will Determine Sustainability

Whether the improvement is sustainable depends on several unresolved variables. The Strait of Hormuz remains a flashpoint — any escalation between the U.S./Israel and Iran could quickly reverse gains . Alternative routes are at or near capacity, and Red Sea shipping lanes face ongoing security risks from Houthi or Iranian-aligned threats . Iraq could restore exports to pre-war levels within a week if Hormuz fully reopens, according to the Basra Oil chief , but production damage and investment gaps may delay a full rebound . Stalled diplomatic talks mean the current military-led arrangement is fragile — a diplomatic resolution would be the strongest long-term stabilizer . The IMF's assessment that the market has become "less volatile" to Hormuz disruptions is accurate only as long as alternative routes remain secure and operational .