Oil prices surge towards $100 as Middle East conflict escalates

crude oil barrels
The price of Brent crude is heading for $100 per barrel as Middle East tensions threatened to disrupt global oil supplies.

Oil prices surge towards $100 as Middle East conflict escalates

crude oil barrels
The price of Brent crude is heading for $100 per barrel as Middle East tensions threatened to disrupt global oil supplies.

Iran launched fresh attacks against the United States on Wednesday in retaliation for US strikes on its vessels.

Here are the latest developments in the conflict:

Oil prices climb near $100 per barrel

Oil prices climbed on Wednesday to near $100 per barrel in Asian morning trade as the Middle East war threatened to choke supply from the region.

The price of Brent crude, the benchmark international contract, rose to $99.46 per barrel while the main US contract West Texas Intermediate traded at $94.45 per barrel.

Iran attacks US vessels and bases

Iran’s Revolutionary Guards said Wednesday they attacked two US vessels, eight oil tankers and 10 non-compliant vessels trying to pass through the Strait of Hormuz.

“Two US vessels, eight oil tankers and 10 non-compliant vessels attempting to pass through the prohibited and unsafe zone were targeted,” the Guards said in a statement.

The Revolutionary Guards also said they struck a US military base in Jordan with missiles in retaliation for US strikes on Tehran’s vessels.

Minutes later, Jordan’s army said it shot down 18 missiles from Iran targeting the kingdom.

Iran said Wednesday it would target oil tankers off Kuwait and Bahrain in retaliation for US strikes on its vessels, urging crews to leave their ships.

“We warn all oil tankers in the Kuwaiti and Bahraini ports to leave their vessels because they will be targeted,” the Islamic Revolutionary Guard Corps said.

US destroys Iranian oil carriers

US forces destroyed five Iranian oil carriers on Tuesday after Tehran launched ballistic missiles at an American warship twice in recent days.

“American forces directed the crews to abandon ship before the vessels were struck and rendered inoperable,” US Central Command said, adding the strikes were in response to Iran’s attacks.

Iran’s Tasnim news agency said a small Iranian tanker was targeted by a missile attack from the US around six kilometres off Kharg Island.

The strike came after local media reported that several blasts were heard on the Gulf island where the majority of Iran’s oil is exported from.

Iranian media also reported two explosions in the southern port of Jask.

Tehran warns of retaliation, US imposes sanctions

The chief of staff of the Iranian Armed Forces, Ali Abdollahi, on Tuesday warned Tehran would attack US bases in the region if Iranian oil tankers were hit.

“Any attack on Iranian oil tankers will result in the targeting of US bases in the region by the armed forces,” Abdollahi said, according to state TV.

US Secretary of State Marco Rubio said on Tuesday that the Iranian hand was behind attacks launched by Yemen’s Houthi rebels against Saudi Arabia.

“The Houthis in many ways are agents and proxies of the Iranians. I think behind some of this is clearly the Iranian hand,” Rubio said.

ALSO READ: Iran threatens greater force if US launches more attacks

The Houthis have launched a new offensive to seize land near the Bab al-Mandab Strait, which controls entrance to the Red Sea.

Iran’s Revolutionary Guards said they captured one of the most modern unmanned US submarines, but the US military said the underwater drone malfunctioned and carried no sensitive data.

Iran also said they destroyed an advanced MQ1 drone over the Strait of Hormuz on Tuesday without specifying who was behind the attack.

Washington imposed sanctions on all remaining Iranian airlines that have yet to face such penalties as it pushes to step up economic pressure on Tehran.

The US Treasury Department said its latest action targets 36 entities for supporting Iran’s aviation sector, which the regime uses to move weapons, personnel and cargo.

ALSO READ: Saudi vows response as Houthis hit oil sites in worst attack in years

You need to be Logged In to leave a comment.

Gift this article