Oman: Global oil prices have jumped sharply after multiple vessels were attacked near the Strait of Hormuz, escalating fears of supply disruption as Iran intensifies its military response across the region following strikes by the United States and Israel.
According to the UK Maritime Trade Operations Centre (UKMTO), at least two vessels were struck by projectiles, while another experienced an explosion close by. Iran has warned commercial ships against transiting the strait, a vital corridor that carries roughly one-fifth of global oil and gas supplies effectively halting most maritime traffic at its entrance.
Shipping disruption triggers market shock
International shipping activity in the area has slowed dramatically, with analysts warning that a prolonged shutdown could push energy prices significantly higher worldwide. Early Asian trading saw benchmark crude prices spike more than 10 percent before easing slightly.
Brent crude rose above $78 per barrel, while US crude gained around 7.6 percent. Energy analysts said markets remain tense but not yet in panic mode, as oil production infrastructure has not been directly targeted so far.
The OPEC+ alliance agreed to raise output by 206,000 barrels per day to offset potential shortages, though experts questioned whether the increase would meaningfully stabilise prices if conflict intensifies.
Tankers hit and traffic stalls
Iran’s Islamic Revolutionary Guards Corps claimed three tankers linked to the UK and US were struck and set ablaze, though neither government confirmed the report. The UKMTO noted multiple security incidents across the Arabian Gulf and Gulf of Oman, urging vessels to transit with extreme caution.
Ship-tracking firm Kpler reported that about 150 tankers are now anchored outside the strait, waiting for safer conditions. Insurance costs for vessels entering the area have surged.
Rerouting global trade routes
Major shipping companies are already altering routes. Danish giant Maersk announced it would suspend sailings through the Bab el-Mandeb Strait and the Suez Canal, diverting vessels around the Cape of Good Hope, a much longer and costlier journey.
Widening regional conflict
The maritime crisis comes amid a rapidly expanding conflict. Iran and Israel exchanged fresh aerial strikes after US-Israeli attacks reportedly killed Iran’s Supreme Leader Ayatollah Ali Khamenei. Explosions have been reported in several Gulf cities, including Dubai in the United Arab Emirates, Doha, and Bahrain and Kuwait.
Analysts warn that if shipping through the Strait of Hormuz remains blocked, oil prices could exceed $100 per barrel, triggering global fuel price increases and renewed inflation pressures.
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