CAIRO, Mar 9 – Global oil prices surged past the $100 mark as escalating conflict in the Middle East forced several producers to reduce output and intensified fears of prolonged disruptions to global energy supply.
Brent Crude jumped by $15.51, or about 16.7%, reaching $108.20 per barrel during early trading on Monday. Meanwhile, West Texas Intermediate climbed $14.23, or roughly 15.7%, to $105.13.
The sharp rally puts oil on course for one of the largest single day gains in market history. Earlier in the session, Brent briefly touched around $119.50 per barrel while WTI rose to about $119.48 before prices eased slightly.
Energy markets have been shaken by the widening conflict involving the United States and Israel against Iran, which has disrupted oil shipments and heightened security risks across the Persian Gulf.
Shipping activity has slowed significantly as tanker movements face increased threats in the strategically important Strait of Hormuz, a corridor responsible for transporting roughly one fifth of the world’s oil supply.
Asian energy buyers are particularly vulnerable to the disruption because many depend heavily on crude supplies from the Middle East that pass through the narrow waterway.
The conflict has already forced several regional producers to curb output. Iraq and Kuwait have started cutting oil production, while earlier disruptions had already reduced liquefied natural gas exports from Qatar.
Analysts say further reductions may follow if export routes remain blocked. Producers including Saudi Arabia and the United Arab Emirates could also be forced to limit output if storage capacity becomes constrained.
Refining operations across the region have also been affected. BAPCO in Bahrain declared force majeure after an attack disrupted operations at its refinery complex.
Despite the surge, prices pulled back slightly after reports that the Group of Seven finance ministers and the International Energy Agency are discussing a coordinated release of emergency oil reserves to calm markets.
At the same time, Saudi Aramco has offered prompt crude supplies through a series of rare tenders in an effort to stabilize availability.
Oil markets remain highly volatile as traders weigh the possibility of a prolonged supply shock should disruptions to shipping and production across the region continue.
