Oil tops $100 a barrel after US and Houthi strikes

Brent crude rose to $100.70 a barrel on Wednesday, up 2.83% from Tuesday and reaching its highest level since late July.

The increase followed reports of US strikes on Iranian tankers, Iranian attacks on US military assets and shipping, and Houthi strikes on Saudi energy infrastructure.

US reports five tanker strikes

US Central Command said American forces destroyed four Iranian oil tankers in the Gulf of Oman — Kaviz, Charminar, Horizon 1 and Riesco — and a fifth, Derya, near Kharg Island. The command said crews were told to abandon the vessels before the strikes.

The US said the action followed two ballistic-missile launches by Iran’s Islamic Revolutionary Guard Corps against a US warship. According to the US account, the ship evaded the missiles and no American personnel were injured.

Iran said it had attacked a US base at Muwaffaq Salti in Jordan, as well as two US Navy destroyers and eight tankers in the Strait of Hormuz. Centcom denied that its warships had been hit. Jordan’s armed forces said they intercepted 20 Iranian missiles, while two others landed in unpopulated areas.

Shipping faces wider regional risks

The UK Maritime Trade Operations agency received reports that several merchant vessels in the northern Gulf and Gulf of Oman had come under fire during military activity. One vessel near the United Arab Emirates was seen listing at anchor, possibly after taking on water from an unknown projectile.

Iraqi authorities said they extinguished a fire on the Panama-flagged tanker New Andros, which was carrying two million barrels of fuel oil when it was hit by a drone.

IRGC spokesman Hossein Mohebi said Iran would announce coordinates for a new “prohibited zone” covering parts of the Sea of Oman and Arabian Sea along a route leading to the Strait of Hormuz. He said vessels entering without coordination would face sanctions.

Houthi-Saudi strikes hit energy sites

The Houthis, who control much of north-western Yemen, reported more than 50 Saudi air strikes across six Yemeni provinces. A day earlier, they launched dozens of drones and missiles at civilian and economic sites in the Saudi cities of Abha, Khamis Mushait, Jazan and Najran.

Saudi authorities said the attacks caused fires at oil facilities and a temporary suspension of operations, and injured 73 civilians. The Saudi military did not immediately comment on the latest strikes.

Before the US and Israel’s war with Iran began in February, Brent traded at about $70 a barrel. About 20% of global oil and liquefied natural gas shipments normally pass through the Strait of Hormuz, while the escalation has also pushed up petrol prices for motorists in several countries.