Global oil prices have surged to a five-year high following renewed hostilities between Israel and Iran targeting key energy infrastructure across the Middle East.
Brent crude rose by 6.24 percent on Thursday to $114.08 per barrel — its highest level since May 2022 — while U.S. West Texas Intermediate climbed to $96.33 per barrel.
The spike comes after a series of retaliatory strikes, with Iran launching missile attacks on energy facilities in Qatar and Saudi Arabia following Israel’s strike on its South Pars gas field.
Authorities in Qatar reported “extensive damage” to the Ras Laffan industrial hub, a major centre for liquefied natural gas processing. In Saudi Arabia, officials confirmed intercepting multiple ballistic missiles aimed at Riyadh, alongside a foiled drone attack on a gas facility.
Iran had earlier warned of potential evacuations around oil installations in Saudi Arabia, Qatar, and the United Arab Emirates as tensions escalated.
The South Pars gas field, jointly shared by Iran and Qatar, is the world’s largest natural gas reserve, making the attacks particularly significant for global energy supply.
Meanwhile, Donald Trump has warned of further escalation, threatening stronger action if attacks on regional energy infrastructure persist.
The disruption has begun to ripple into global markets, with downstream effects already felt in Nigeria. The Dangote Refinery recently adjusted its petrol ex-gantry price to N1,175 per litre, citing rising crude costs tied to international benchmarks.
Analysts warn that continued instability in the Middle East could further strain global supply chains, drive up fuel prices, and intensify economic pressures worldwide.
