Brent Crude Tops $90 as U.S.-Iran Conflict Continues
Global oil prices surged yesterday as Brent crude rose above $90 per barrel, following renewed military strikes between the United States and Iran that disrupted shipments through the Strait of Hormuz.
The escalation, now in its sixth day, has sharply reduced traffic through the strategic waterway. According to LSEG data, only four vessels passed on Sunday, compared to nearly 50 daily transits before the conflict.
Iran’s Revolutionary Guards warned that the strait would remain unsafe as long as U.S. “aggression” continued, declaring, “This passage will not be safe for the transit of petrochemical products, nor even a single drop of oil and gas.”
The surge in prices was compounded by drone attacks on two tankers near Russia’s Novorossiysk port, forcing the suspension of exports from the Caspian Pipeline Consortium (CPC) terminal, which handles about 2 million barrels per day of Kazakh oil.
Data from Oilprice showed Brent has gained more than $10 per barrel in recent sessions, reflecting a growing risk premium as hopes for a diplomatic resolution fade.
The Strait of Hormuz carries about 20% of global oil consumption and a significant share of liquefied natural gas (LNG) exports, making any prolonged disruption a major concern for energy markets.
Security fears intensified after a Malta-flagged tanker, Kavomaleas, anchored near Oman’s Musandam Peninsula instead of loading petroleum products inside the Gulf. Vessel tracking showed its transponder signal was switched off as a precaution.
Although Iran’s foreign ministry later hinted at possible negotiations with Washington, analysts warned that continued volatility in the Gulf could keep oil prices elevated in the near term.