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Oil Soars Past $103 as Iran Warns Strait of Hormuz May Stay Closed

Crude oil prices skyrocketed to over $103 per barrel following a warning from an Iranian official that the Strait of Hormuz may not return to its pre-war status. The remarks by parliamentary speaker Mohammad Baqer Qalibaf have intensified fears over the safe passage of vessels through this critical global energy chokepoint. Prices have surged approximately 41% since late February, driven by escalating military confrontations involving the US, Israel, and Iran. This sharp increase reflects deep market concerns about sustained disruptions to global energy supplies from the Middle East.

Key Points: Oil Price Surge: Iran Strait of Hormuz Warning Sparks $103 Barrel

  • Prices surged 40% in 17 days
  • Strait of Hormuz passage in doubt
  • US-Israel-Iran tensions escalate
  • Global energy supply chains at risk
2 min read

Crude oil surges above USD 103 barrel as Iran warns Strait of Hormuz may not return to pre-war status

Crude oil surges above $103 a barrel after Iran's warning that the Strait of Hormuz may not return to normal, threatening global energy supply chains.

"The Strait of Hormuz situation won't return to its pre-war status. - Mohammad Baqer Qalibaf"

New Delhi, March 18

Crude oil prices in the international markets surged again to as high as USD 103 per barrel on Wednesday after Iranian parliamentary speaker Mohammad Baqer Qalibaf indicated that the situation in the Strait of Hormuz would not return to normal.

These remarks have heightened uncertainty over the safe passage of vessels through the crucial energy corridor.

In a post on X, Qalibaf said, "The Strait of Hormuz situation won't return to its pre-war status."

His statement comes amid escalating tensions in the region following ongoing military confrontations involving the United States, Israel and Iran, raising serious concerns about the stability of global energy supply chains.

During Wednesday's trading session, crude oil prices touched USD 103.45 per barrel, reflecting sustained upward pressure in global markets.

Prices have surged by more than 40 per cent in just 17 days due to the ongoing conflict, which has disrupted energy supply routes through the Strait of Hormuz and significantly impacted global energy markets, particularly in Asia.

Before the beginning of the war, crude oil prices in international markets were trading at around USD 73 per barrel on February 27. However, by Saturday, prices had risen sharply to around USD 103 per barrel.

The increase from USD 73 to USD 103 per barrel marks an absolute rise of USD 30, translating into a percentage increase of approximately 41.1 per cent in a short period.

The recent escalation in military conflict between the United States and Iran began on February 28, when U.S. and Israeli forces launched wide-ranging, direct attacks on Iranian military assets and leadership. Iran's Supreme Leader Ayatollah Ali Khamenei was also killed in the US-Israel-led strikes.

The sharp spike in crude oil prices reflects growing concerns over global energy supply disruptions as tensions continue to escalate in the Middle East. The Strait of Hormuz, a critical route for global oil transportation, remains at the centre of these concerns.

- ANI

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Reader Comments

P
Priya S
A 40% jump in 17 days is terrifying. It's not just fuel; everything from transportation to food prices will shoot up. Our inflation was just getting under control. Feeling very anxious for the economy.
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Rohit P
While the situation is serious, I respectfully think our media focuses too much on the price spike and not enough on long-term solutions. We've been talking about reducing oil dependence for decades. This crisis should be a wake-up call to double down on renewables and electric vehicles. Jai Hind!
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Michael C
Working in logistics in Mumbai. This directly means higher operational costs. Clients won't pay more, so our margins vanish. The Strait of Hormuz is the world's problem, but countries like India, which import so much, feel it first and worst.
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Shreya B
My father is a farmer in Punjab. Diesel cost for running the tubewell and tractor is his biggest expense. If this continues, the next crop cycle will be in serious trouble. Hope our leaders have a plan. 🙏
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Vikram M
Geopolitics directly affecting kitchen budgets now. Time to seriously push for energy independence. Solar, wind, nuclear – we need all hands on deck. Also, our foreign policy needs to be nimble to navigate this crisis.

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