Oil Prices Climb Above $100 a Barrel as Middle East Tensions Escalate

Oil prices have surged above $100 a barrel for the first time since May as the escalating conflict in the Middle East fuels fresh concerns over global energy supplies.

Brent crude, the international benchmark for oil prices, rose more than 5% on Thursday, extending gains made over recent days as the United States intensified military strikes against Iran.

Prices jumped further after Houthi militants attacked oil tankers in the Red Sea, threatening a key shipping route used by Saudi Arabia to bypass the Strait of Hormuz, one of the world’s most important oil transit corridors.

Natural gas prices have also continued to climb, with the UK benchmark reaching around 150p per therm, up sharply from approximately 98p per therm on 26 June.

The latest escalation came after Iran’s Islamic Revolutionary Guards Corps said three oil tankers abandoned attempts to transit the Strait of Hormuz following an explosion aboard one vessel that caused it to catch fire.

Concerns over energy markets have intensified after a temporary ceasefire between the United States and Iran collapsed. Earlier this week, US Secretary of State Marco Rubio said Iran’s leadership was “not ready to make a deal,” raising fears that the conflict could further disrupt global oil and gas supplies.