Appearing on CNBC’s “The Street” Mr. Sawan explained why this is now happening, and UNAVOIDABLE.<\/p>\n
When the Iran war disrupted Middle Eastern jet fuel exports, aviation fuel prices spiked. Refineries globally, including Shell\u2019s, responded rationally to market signals. They maximized production of the highest-priced product.<\/p>\n
Shell increased its jet fuel production by approximately 20% in response to that price signal, according to Sawan\u2018s remarks.<\/p>\n
That 20% jet fuel addition came at a direct cost. Refinery units running at maximum throughput, allocate barrel inputs across competing product streams. More jet fuel output means less diesel and gasoline from the same barrel of crude.<\/p>\n
As the jet fuel shortage eased and aviation activity normalized, the diesel and gasoline deficit that accumulated during the pivot is now showing up in product-market signals.<\/p>\n
\u201cThe price signals are that\u00a0we are short on diesel and gasoline<\/strong><\/b>,\u201d Sawan said. Remember, he is a CEO with real-time visibility into global product markets telling investors and viewers that the next leg of fuel-cost pressure will arrive at the pump, not the aircraft gate.<\/p>\n “The Boy Who Cried Wolf”<\/strong><\/b><\/p>\n For the last five months, this website and its radio show have been shouting from the rooftops for readers and listeners to store-up spare fuel, fill home home heating oil tanks and gas\/propane tanks, and to stock-up on food.<\/p>\n I issued these warnings because I knew that everything . . .\u00a0 literally E V E R Y T H I N G (except electricity and natural gas) must, at some point, move by truck.\u00a0 \u00a0Trucks run on Diesel fuel.\u00a0 \u00a0 I knew that when Diesel fuel runs short (or runs out) all those trucks have to stop.<\/p>\n I explained over and over that no fuel means\u00a0no trucks<\/strong><\/b>\u00a0to pick up food from farms or meat from ranches, and bring it to processing centers.\u00a0 Then, there’s\u00a0no trucks<\/strong><\/b>\u00a0to bring the food from processing centers to distribution centers.\u00a0 Finally,\u00a0no trucks<\/strong><\/b>\u00a0to bring food from Distribution Centers to Supermarkets.\u00a0 \u00a0Ergo,\u00a0empty store shelves.<\/strong><\/b><\/p>\n I said these things and was viciously ridiculed as “The Boy Who Cried Wolf.”\u00a0 \u00a0I was belittled and told “You’re not an expert, let the experts deal with this.”\u00a0 \u00a0Others mocked me as “Chicken Little, the sky is falling” and I was bluntly told “If there was actually a real problem, the experts would have told us about it.”<\/p>\n I was accused of “sensationalism” and publishing “Click bait.”\u00a0 Others said my reports were nothing more than “Doom Porn.”<\/p>\n Well, well, well, here we are five months later and . . . . lookie, lookie, here . . . . The Chief Executive Officer of Shell Oil, the fourth largest Oil Company on planet earth, is now confirming what I have been shouting about for months!\u00a0 \u00a0It turns out that ___ I ___ was right, and all those who mocked, scorned, and belittled me, were wrong.\u00a0 \u00a0Imagine that!<\/p>\n But wait, It’s not just Mr. Sawan.\u00a0 \u00a0Months ago, on May 28 (HERE<\/a>) I also reported that Neil Chapman, Senior Vice-President of Exxon, told the Sanford Bernstein Strategic Decisions Conference:<\/p>\n![\"\"](\"http:\/\/stateofthenation.info\/wp-content\/uploads\/2026\/08\/Screenshot-2026-08-05-at-8.49.06-AM.png\")
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