How vulnerable is New Zealand to a global oil shock?

A global oil giant is warning of a looming catastrophe unless the Strait of Hormuz reopens soon.

The US and Israel war on Iran is wreaking havoc on global oil and gas markets, spiking prices and sending shockwaves across global economies.

It's being called by some commentators the "biggest oil disruption in history."
Saudi Arabia's state oil company, Aramco, has said there would be "drastic" consequences for the world economy if the disruption continued.

It's believed oil could hit $150 US-dollars per barrel by the end of the month.

But what does the wholesale price of oil mean for you at the pump? And will things get a lot worse, before they get better?

Today on The Front Page, journalist and publisher of The Kākā, Bernard Hickey is with us to talk about the crisis - and what New Zealand should do next.

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You can read more about this and other stories in the New Zealand Herald, online at nzherald.co.nz, or tune in to news bulletins across the NZME network.

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Producer: Jane Yee

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