Oil prices rose by around 1.2% on Wednesday, pushing Brent crude above $110 a barrel amid escalating tensions in the Middle East and growing pressure on the diesel market.
By 09:00 GMT, Brent crude futures had risen 1.2% to around $110.16 a barrel.
U.S. crude futures also gained 1.4%, reaching approximately $99.19 a barrel.
The increase comes amid continued uncertainty over global oil supplies, as tensions escalate in the Middle East and concerns persist over the movement of oil tankers through the Strait of Hormuz.
The global diesel market is facing mounting pressure, prompting International Energy Agency member states last Thursday to agree to accelerate the release of around 100 million barrels of oil from strategic reserves, including more than 20 million barrels of diesel, as soon as possible.
On Tuesday, IEA Executive Director Fatih Birol said the agency was prepared to coordinate the release of additional oil reserves held by member states if necessary.
He said the agency was urging member countries to proceed with planned diesel stock releases to help limit further price increases.
Strait of Hormuz Concerns
The rise in oil prices comes as oil tankers continue to be targeted in the Strait of Hormuz, a major route for global energy trade.
On Tuesday, Iran’s Islamic Revolutionary Guard Corps naval forces said a major oil tanker had exploded after striking a sea mine south of the Strait of Hormuz.
In a statement, the forces said the tanker had a capacity of around two million barrels of oil and had attempted to cross the strait along a route they described as “unauthorized.”
No further details were immediately available regarding the extent of the damage to the tanker or the impact of the incident on maritime traffic.
In a related political and military development, the Financial Times reported Wednesday that U.S. President Donald Trump rejected a plan by Israeli Prime Minister Benjamin Netanyahu to launch a “major attack” on Iran before the U.S. midterm elections.
The newspaper reported that Netanyahu is seeking to resume large-scale strikes on Iran and had already instructed the Israeli military to draw up plans for a “major attack.”
Citing three unnamed sources familiar with the matter, the newspaper added that the Israeli military had prepared for several days of bombing, which was scheduled to begin on October 10.
The military escalation began with U.S.-Israeli attacks on Iran on February 28, followed by a ceasefire in April.
Confrontations between Washington and Tehran later resumed amid stalled negotiations, despite the two sides signing a memorandum of understanding in mid-June.
Source: Anadolu Agency
