U.S. Strike Near Iran’s Kharg Island Sends WTI Above $94, Brent Past $98

Reports that the U.S. struck near Kharg Island, Iran’s main oil export hub, kept crude prices rising on concern over disruptions to Middle East supply.

Bloomberg reported on September 8 that West Texas Intermediate climbed as much as 1.4% intraday to $94.33 a barrel, after gaining 1.7% the previous session. Brent traded near $98 a barrel.

Fox News, citing a senior U.S. official, reported that the U.S. military struck Iranian oil carriers and other targets near Kharg Island. As Iran’s main crude export hub, the island has become a fresh flashpoint for regional energy supply uncertainty.

Iran also warned of possible further attacks on ships. Iranian state television, citing the Islamic Revolutionary Guard Corps, or IRGC, said crew members on tankers moored or docked near ports in Kuwait and Bahrain had been told to evacuate their vessels immediately.

Attacks on energy infrastructure across the Middle East have also continued. Most recently, the Iran-backed Houthi militia struck energy facilities in southern Saudi Arabia, forcing some sites to halt operations.

The market is watching for further disruption to oil shipments through the Strait of Hormuz. Before the Iran war, about 20% of the world’s crude oil and liquefied natural gas shipments passed through the waterway. Some cargoes are still moving, but shipping risks persist, with some tankers sailing with their Automatic Identification System, or AIS, switched off to avoid attacks.