Oil prices surged on Friday by about 2 percent after the United States and Iran intensified mutual attacks in the Persian Gulf region. But there is another reason for concern: growing fears that Iran, already blocking navigation through the Strait of Hormuz, could also shut down the Bab al-Mandab strait at the junction of the Red Sea and the Indian Ocean.
Brent crude futures rose by $1.53, or 1.82 percent, to $85.76 per barrel by 10:00 GMT. U.S. West Texas Intermediate (WTI) crude futures climbed $1.69, or 2.14 percent, to $80.64. According to Reuters, the collapse of the truce between Washington and Tehran has caused a drop in oil exports from the Strait of Hormuz.
Iran is now pressuring the Houthi movement to close the Red Sea route if the U.S. attacks its energy infrastructure. Since the conflict with Iran began, Red Sea transit has increased significantly due to the rerouting of Saudi oil exports from the Strait of Hormuz.
Iran pressures Houthis to close the Red Sea route
Commerzbank analysts warned that if the Bab al-Mandab strait is blocked due to further escalation, oil prices are likely to rise even more. The bank noted the critical importance of this chokepoint for global crude flows, especially now that alternative routes are already under strain.
– If the blockade of the Bab al-Mandab strait occurs as a result of further escalation, the price of crude oil is likely to rise even further – wrote Commerzbank analysts.
Fatih Birol, executive director of the International Energy Agency (IEA), expressed deep concern during a meeting of the Council on Foreign Relations in Washington. He stressed that oil security remains a critical issue and that the situation could deteriorate sharply without improvement in the coming weeks.
– We should be worried, and I am worried, if the situation does not improve in the next few weeks – said Fatih Birol.
Regional fallout and new attacks
On Friday, Iran launched new strikes against U.S. targets in the Middle East, including its first direct attack in Syria, following six consecutive nights of American airstrikes on Iranian military positions. The U.S. Central Command reported a fresh wave of attacks aimed at further weakening Iran’s military capabilities.
The conflict is already spilling over into neighboring countries. Qatar’s defense ministry said its armed forces thwarted an Iranian missile attack early Friday morning. The interior ministry reported that a child was wounded by shrapnel during the interception operation. Kuwait also suffered damage: one of its power plants and a water desalination station were hit.
Źródło: WNP.PL, Fot. EPA/ABEDIN TAHERKENAREH / PAP
