Oil prices rose more than 4% on Thursday due to attacks on key energy infrastructure in West Asia. The April contract of Brent crude on the Intercontinental Exchange reached $111.78 per barrel, marking a 4.10% increase from the previous close. Similarly, the April contract of West Texas Intermediate (WTI) on NYMEX climbed 3.37% to $99.57 per barrel.
The surge in oil prices was triggered by Israel’s strike on Iran’s South Pars gas field, the world’s largest, which led to Iran retaliating by attacking Qatar’s Ras Laffan industrial city, a significant global gas hub. Qatar’s foreign ministry spokesperson emphasized that such attacks on energy infrastructure pose a threat to global energy security.
Following the attacks, QatarEnergy confirmed that Ras Laffan Industrial City had been targeted with missile strikes, resulting in extensive damage. Emergency response teams were promptly deployed to manage the fires, with no casualties reported at that time. The surge in oil prices holds particular significance for India, a country that imports nearly 90% of its crude oil needs.
US President Donald Trump expressed opposition to further strikes on Iranian energy infrastructure in response to Israel’s actions at the South Pars gas field. Trump, speaking on his Truth Social platform, condemned the attack, stating that only a small portion of the gas field was affected. The situation has escalated regional tensions, with Iran cautioning of “uncontrolled consequences” and threatening retaliation against energy facilities in the Gulf region.
