Crude oil prices climbed above $100 per barrel on Wednesday for the first time since July as renewed military attacks involving the United States, Iran and Yemen’s Houthi rebels heightened fears over global energy supplies.
Brent crude, the international benchmark, briefly surpassed the $100 mark before easing to about $99.90 per barrel.
The latest increase came as the conflict in the Middle East intensified, with the US striking five Iranian oil tankers and Iran responding with missile attacks and threats against vessels navigating the Strait of Hormuz.
Four of the tankers targeted by the US in the Gulf of Oman were reportedly linked to Iran’s Islamic Revolutionary Guard Corps, while another vessel was struck near Kharg Island, Iran’s major oil-export terminal.
The US military said the vessels were connected to what it described as a “multi-billion-dollar shadow network that funds the IRGC and its regional proxies”.
One of the targeted ships, the M/T Riesco, later sank in the Gulf of Oman, according to US Central Command.
Iran subsequently launched missiles towards a US military base in Jordan.
Jordanian authorities said 18 of the 20 missiles were intercepted, while the remaining two landed in unpopulated areas.
Iran’s Revolutionary Guards also claimed to have attacked two US vessels, eight oil tankers and 10 “non-compliant vessels” attempting to navigate the Strait of Hormuz.
The latest escalation followed an earlier Iranian attempt to target a US warship with ballistic missiles. US Central Command said the vessel successfully avoided the attack and that no American personnel were injured.
US Secretary of State Marco Rubio defended Washington’s response, saying the situation was “pretty straightforward”.
“Iran continues to try to hit US naval ships. And, for every time they do that or try to do that, they’re going to lose tankers. And I think you’ll see that again today,” Rubio told reporters during a trip in Colombia.
Meanwhile, the Iran-backed Houthi movement in Yemen has added to concerns about disruptions to oil supplies by carrying out attacks on Saudi energy infrastructure, civilian targets and tankers in the Red Sea.
Saudi authorities said Houthi drone and missile attacks on Tuesday hit economic and civilian sites in Abha, Khamis Mushait, Jazan and Najran, injuring 73 people.
The strikes also triggered fires at energy facilities and temporarily disrupted operations, according to Saudi Arabia’s military and energy ministry.
The Houthis said their attacks were retaliation for what they described as a Saudi blockade of ports and airports, as well as an air strike on Sanaa airport.
The group also accused Saudi Arabia of bombing a prison in al-Hazm on Monday, claiming that 11 people were killed.
The renewed violence has further unsettled an already volatile oil market.
Before the US-Iran conflict began on 28 February, Brent crude was trading at around $70 per barrel.
The war has effectively disrupted traffic through the Strait of Hormuz, a crucial global energy route through which about 20% of the world’s oil and liquefied natural gas passes.
The resulting supply concerns have already pushed up fuel prices in several countries, increasing pressure on motorists and consumers.
The latest US-Iran confrontation also comes after Iran’s Navy claimed it had seized an uncrewed US submarine in the Strait of Hormuz.
However, US Navy Capt Tim Hawkins, a Centcom spokesperson, said the underwater drone had malfunctioned more than a day earlier and was being used to monitor regional waters.
The defective drone was “an older model that neither collected sensitive data nor carried any classified sonar or radar equipment”, Hawkins said, adding that US military operations in the region were continuing.
With the conflict showing no immediate signs of easing, further attacks around major oil-producing facilities and the Strait of Hormuz could put additional upward pressure on crude prices.
