Oil Prices Could Reach $150 Amid Iran Crisis: Energy Analysts

PNN Staff Report

The ongoing U.S.-Israel military tensions around Iran are causing significant instability in global energy markets. Energy economist Ed Hirs warned that if the situation worsens, crude oil prices could reach $150 per barrel.

In an interview with Al Jazeera, Hirs noted the strategic importance of the Strait of Hormuz, which handles a large portion of global oil supply. Even halting half the flow could put the world economy under unprecedented pressure. Maritime security risks also threaten shipping operations.

Brent crude has risen rapidly from late February to early March, increasing over $11 per barrel in a few days to $83. Supply shortage concerns have fueled investor fear.

The impact is not limited to oil; LNG prices in Europe have also spiked. Diesel prices are rising too. Production issues in Iraq’s Basra could further exacerbate the problem. Analysts say sustained disruption could strain Asian and European industries dependent on energy.

Political consequences are also possible, challenging the Trump administration if oil-dependent states face inflation and public discontent. Experts emphasize that ensuring safe maritime traffic through Hormuz is critical to stabilize global energy markets.