Oil Prices Rise, Hormuz Tensions Heat Up After US Ultimatum to Iran
Oil prices rose in Asian trading after US President Donald Trump issued a new deadline to Tehran and vowed to increase pressure if the Strait of Hormuz is not reopened. The shipping lane remains tightly restricted, raising concerns about supply disruptions.
Brent crude for June settlement rose 1.3% to US$110.44 per barrel at 7:06 a.m. in Singapore. WTI for May delivery rose 1.4% to US$113.12 per barrel, reflecting the renewed prominence of geopolitical risk premiums in energy markets.
In a social media statement, Trump threatened attacks on Iran's power facilities and civilian infrastructure if Hormuz is not reopened. Iran rejected the latest demands, and passage through the strait is reportedly open to only a small number of ships.
Control of Hormuz remains a key flashpoint as the strait connects the Persian Gulf to global markets, particularly Asia. In recent days, several vessels have reportedly been allowed to pass, including a French container ship, a Japanese tanker, and vessels from Malaysia and Pakistan.
Iran also stated on Saturday that Iraq would be exempt from restrictions in the strait, potentially aiding the flow of oil cargo. However, an Iraqi official said the actual shipments depended on the willingness of shipping companies to take the risk of entering the waterway.
On the diplomatic front, Oman's Foreign Ministry stated that it had discussed options with Iran to ensure smooth flow in the strait, with proposals from both sides still being reviewed. Meanwhile, a series of attacks continued over the weekend, including Israeli claims of striking dozens of targets in Iran and reports of an attack on the headquarters of Kuwait Petroleum Corp., amid a US operation to evacuate a fighter jet crew member reported missing after their plane was shot down in Iran. (asd)
Source: Newsmaker.id
