Iran Warns $200 Oil Barrels Coming
Iran's military command on Wednesday warned the world to get ready for oil to be $200 a barrel, as more commercial vessels in the Strait of Hormuz came under attack.
Spokesman for the Khatam Al-Anbiya Central Headquarters Lieutenant Colonel Ebrahim Zolfaqari delivered a clear message to Washington and its allies regarding energy shipments through the Strait of Hormuz, saying, "We will not allow even a single liter of oil to pass through the Strait of Hormuz for the benefit of America and its friends."The military official further clarified the expanded scope of Iranian military operations, adding, “Any vessel, itself or its oil cargo belonging to the United Stated, the Zionist regime, or their hostile partners, is a legitimate target for Iran’s Armed Forces.”
The warning came as maritime security agencies and sources announced on Wednesday that three vessels have been hit by unknown projectiles in the Strait of Hormuz. Tehran has declared that every vessel intending to pass must obtain permission.The latest incidents increase the number of ships that have been attacked since the conflict began to at least 14.Since the war began in late February, traffic through the Strait of Hormuz, responsible for approximately 20 percent of global oil supplies transit, has plummeted from an average of 76 tankers daily to just a handful, with some days seeing zero crossings.Crude oil prices neared $120 a barrel Monday, their highest level in almost four years. The price of Brent has since fallen closer to $90 but remains around 25% higher than it was before the US and Israel attacked Iran. Following Wednesday's incidents, oil prices rebounded as worries about a prolonged supply disruption in the Strait of Hormuz. Brent crude, the global oil benchmark, gained around 4% to trade above $91 a barrel after falling earlier in the day. WTI, the US benchmark, rose about 4.5% to around $87 a barrel.
"Get ready for oil to be $200 a barrel, because the oil price depends on regional security which you have destabilised," Zolfaqari stated in comments addressed to the United States.
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