-- Ryanair Holdings (RYAAY) CEO Michael O'Leary said concerns over a jet fuel shortage in Europe are easing, though summer travel demand may weaken amid ongoing war uncertainty, Bloomberg said Tuesday.
O'Leary said fuel supply conditions have improved over the past three weeks, as production from the US, North Africa, and Norway has offset reduced Middle East flows, the report added.
He made the comments at the Norges Bank Investment Management annual conference in Oslo.
He said oil companies now see no supply disruption risk through early to mid-June, marking a shift from earlier warnings that covered only deliveries through mid-May.
Airlines had raised concerns about shortages as restrictions in the Strait of Hormuz threatened supply ahead of the peak summer travel season, the report noted.
Oil prices have climbed above $100 per barrel, prompting airlines to signal they may pass higher fuel costs on to passengers, according to the report.
O'Leary said bookings for April and May remain strong, but customers are showing hesitation when booking flights for June through August, the report added.
He said many travelers are delaying decisions due to uncertainty, adding that demand patterns suggest people are waiting to book the flights.
Wizz Air CEO Jozsef Varadi also expects sufficient jet fuel availability for the next month, reflecting broader confidence across airlines, the report said.
has reached out to Ryanair for any comments.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
Price: $54.26, Change: $-1.27, Percent Change: -2.29%