Oil prices rise as International Energy Agency warns Iran conflict surpasses 1970s oil crises Oil prices climbed on Monday following escalating tensions in the Middle East, as the United States and Iran exchanged threats of attacks on energy infrastructure, raising fears of a prolonged regional conflict. The International Energy Agency (IEA) declared that the disruption of global oil supplies due to the closure of the Strait of Hormuz exceeded the impact of the oil crises in the 1970s, marking a significant shift in energy market dynamics. Brent crude, the global benchmark, surged 1% to $113 per barrel, while the US benchmark, WTI, rose 0.8% to $99 per barrel. The IEA’s executive director, Fatih Birol, highlighted that the current energy shock surpasses the 1973 and 1979 oil crises, which saw a daily loss of 10 million barrels. He noted that the loss of natural gas supply also exceeds the disruptions caused by Russia’s invasion of Ukraine in 2022. Birol warned that the disruption extends beyond oil and gas, affecting critical sectors like petrochemicals, fertilizers, sulfur, and helium, which are vital to the global economy. Iran’s Islamic Revolutionary Guard Corps (IRGC) vowed to retaliate against any attacks on its power plants, stating, “If you strike electricity, we will strike electricity.” The IRGC also threatened to keep the Strait of Hormuz closed indefinitely, targeting Israeli energy infrastructure and power plants in countries hosting US military bases. Iranian Parliamentary Speaker Mohammed Baqer Qalibaf added that if US President Donald Trump followed through on his threats, critical Middle East infrastructure and oil facilities would be deemed “legitimate targets” for destruction.#strait_of_hormuz #international_energy_agency #fatih_birol #iran_islamic_revolutionary_guard_corps #mohammed_baqer_qalibaf
