Oil prices climbed above $85 a barrel on Tuesday, reaching their highest level in nearly a month as US strikes on Iranian military targets and disruptions to shipping through the Strait of Hormuz heightened supply concerns.
International benchmark Brent crude rose 2.4% as of 0635GMT, extending its gains since the start of the week to more than 13%.
The US Central Command (CENTCOM) said its latest five-hour operation targeted military sites along Iran’s southern coastline, including coastal defense systems, missile and drone facilities, and maritime capabilities.
The targets were located in Bushehr, Chah Bahar, Jask, Konarak, Abu Musa, and Bandar Abbas, according to CENTCOM, which said the strikes were intended to weaken Iran’s ability to attack commercial shipping.
US President Donald Trump said American forces were targeting Iran’s military capabilities linked to the Strait of Hormuz and reinstating a blockade on Iran and vessels doing business with Tehran.
Commercial traffic through the strait has slowed to a near halt amid the renewed strikes, security warnings, and growing uncertainty over the blockade.
Trump also said Washington wanted reimbursement from Gulf countries benefiting from US protection of the strait, including Saudi Arabia, the United Arab Emirates, Qatar, Kuwait, and Bahrain.
The escalation has intensified concerns over potential disruptions to oil and liquefied natural gas shipments through one of the world’s most important energy transit routes.