Iran Says Its Energy Facilities Attacked, Oil Prices Rise in Response

Odaily News According to reports, oil prices rose after Iran stated that some of its energy facilities were attacked. Brent crude traded near $105 per barrel, gaining over 3% on Tuesday. Iranian state television reported that part of the large South Pars gas field and oil industry facilities in Asaluyeh were attacked. The focus of the oil market remains firmly on the Strait of Hormuz, a critical chokepoint that is effectively closed. Robert Rennie, Head of Commodity Research at Westpac, stated that due to the seemingly endless Middle East conflict, daily production shutdowns are increasing, and the Strait of Hormuz is technically closed, he still believes Brent crude will maintain a new, higher range of $95 to $110 per barrel. If a major refinery is attacked, or if more mines are confirmed to be laid in the strait, he expects the range to shift up by another $10 to $20. (Jin10)