New Delhi, June 19 -- As conflict escalates between Israel and Iran, energy giant Shell has issued a stark warning that a blockade of the Strait of Hormuz - a critical maritime chokepoint - could trigger a severe shock to global trade and energy markets. The strait is a narrow waterway that connects the Persian Gulf and the Gulf of Oman and is the only passage from the oil-rich gulf to the Indian Ocean.

Wael Sawan, chief executive of Shell Plc, speaking at the Japan Energy Summit & Exhibition in Tokyo, said the company was "being very careful" with its shipping operations in the Middle East and had activated contingency plans in anticipation of a possible deterioration in the conflict.

"If that artery is blocked, for whatever reason, i...