Iran Warns Oil Could Hit $200 Barrel After Attacks on Three Ships in Gulf

Three merchant vessels were struck by unidentified projectiles in the Gulf on Wednesday amid escalating Middle East tensions, prompting a stark warning from the Islamic Revolutionary Guard Corps (IRGC) that oil prices could soar to $200 a barrel, raising global energy market concerns.

The attacks occurred in and around the Strait of Hormuz, a critical shipping lane responsible for transporting about one‑fifth of the world’s crude oil. Maritime security monitors reported that a Thai‑flagged bulk freighter caught fire following an explosion, while a Japan‑flagged container ship and a Marshall Islands‑flagged bulk carrier were also damaged. Crews from the most severely impacted vessel were safely evacuated.

The IRGC emphasized that ongoing regional instability could push global oil prices to historic highs, saying “regional instability risked pushing global oil prices toward $200 a barrel, a level not seen in decades, if security conditions fail to improve.”

Global oil benchmarks reacted to the escalating tensions, with Brent crude briefly nearing $120 a barrel earlier this week before settling around $90 as investors weighed the prospects of diplomatic or military de-escalation.

The conflict has disrupted maritime traffic through the Strait of Hormuz, forcing several vessels to avoid the waterway, further limiting supplies and contributing to price volatility. Officials and governments worldwide continue to monitor the situation closely as tensions remain high and show no immediate signs of easing.