Oil Surges to $70 on Heightened Worries US Could Attack Iran

By Adedapo Adesanya

The price of surged by 3 per cent to a five-month high on Thursday on rising concerns that global supplies could be disrupted if the US attacks Iran, one of biggest crude ​producers in the Organisation of the Petroleum Exporting Countries (OPEC).

Specifically, the Brent futures rose by $2.31 or 3.4 per cent to $70.71 a barrel, while US West Texas Intermediate (WTI) crude futures gained $2.21 or 3.5 per cent to settle at $65.42 per barrel.

US President Donald Trump is weighing options against Iran that include targeted strikes on security forces and leaders to inspire protesters. It was reported that the American President wanted to create conditions for “regime change” after a crackdown crushed ‌a nationwide protest movement earlier this month, killing thousands of people.

There is a possibility that delay is coming as Israel and Arab officials said air power alone would not topple Iran’s clerical rulers.

Earlier this week, he warned Iran that a “massive armada” of US Navy ships is headed to the Persian Gulf.

Reuters reported that in Iran, plainclothes security forces have rounded up thousands of people in a campaign of mass arrests and intimidation to deter further protests.

Iran, for its part, said that its army is ready to “immediately and powerfully” respond to any possible attack by the US.

Oil stakeholders will be weighing the consequences that a war could lead to. Market analysts say Iran may close the Strait of Hormuz shutting out around 20 million barrels per day of oil that navigates it.  Iran was the third-biggest crude producer in OPEC behind Saudi Arabia and Iraq in 2025.

European Union foreign ‍ministers adopted new sanctions on Iran on Thursday targeting individuals and entities involved in a violent crackdown on protesters. Separately, the EU designated Iran’s Revolutionary Guard as a terrorist organisation.

Russia on Thursday reiterated its invitation for Ukrainian President Volodymyr Zelenskiy to come to Moscow for peace ⁠talks as US-led efforts to reach a deal to end the nearly four-year war in Ukraine intensify.

Any peace deal that would allow Russia to export more oil should increase ‍global supplies and decrease energy prices. Russia is the third-biggest crude producer in the world after the US and Saudi Arabia.

In the US, crude production continued to recover on Thursday after a winter storm ravaged production and losses peaked at 2 million barrels per day over the weekend.

The Dollar fell to its lowest since February 2022 against a basket of other currencies on uncertainty over US economic policies. A weaker greenback can boost oil prices by making dollar-priced oil less expensive for many global ‍buyers.