TAMPA, Fla. — Tensions around the Strait of Hormuz have pushed interest in commercial geospatial intelligence services to unprecedented levels, an executive at Kayrros said after the French satellite analytics provider agreed to be acquired by U.K.-based Energy Aspects.
Antoine Halff, co-founder and chief analyst at Kayrros, said traders and analysts are increasingly turning to geospatial intelligence in the region after Iran effectively shut down much of the shipping through one of the world’s most strategically important oil chokepoints following U.S. and Israeli strikes Feb. 28.
“Satellite-based analysis can turn physical observations — such as full storage tanks or idle tankers — into actionable market signals on a daily basis, and in some cases even intraday,” he said via email.
“That is a step change for energy markets, which have historically moved on weekly or monthly data update cycles.”
Founded in 2016, Kayrros uses artificial intelligence, machine learning and geoanalytics to analyze raw data from more than 20 satellite constellations, producing insights on oil production, storage levels, supply chains, environmental risks and other energy market indicators.
Satellite monitoring is particularly valuable during geopolitical crises because it can reveal physical activity on the ground even when official information is delayed, incomplete or politically influenced.
“Satellite imagery suggested that storage capacity at the Juaymah crude terminal in Saudi Arabia, which is one of the largest in the Gulf, was tightening as exports slowed through the Strait of Hormuz,” Halff said.
“Analysts could see tanks filling even while production continued. Following recent drone strikes, satellite data also indicated that storage at the nearby Ras Tanura refinery was becoming constrained. At one point, imagery suggested that four of the site’s six crude tanks were full.”
Demand-driven deal-making
Energy Aspects announced plans March 12 to buy Kayrros for an undisclosed sum, pending regulatory approval.
The British firm said the acquisition will complement capabilities gained through its 2023 purchase of analytics provider OilX.
While OilX focuses more heavily on maritime trade flows and supply-and-demand trends derived from shipping data, Kayrros specializes in monitoring onshore energy infrastructure at the asset level, such as oil production sites and crude storage facilities.
The deal is part of a broader expansion strategy for Energy Aspects, which in recent years has also acquired firms including energy infrastructure analytics provider INAS and oil storage monitoring firm TankWatch.