More tankers attacked; Iran speaks out: waiting for "Ford" carrier in Strait of Hormuz; US prepared for $200 oil prices

According to Xinhua News Agency, the International Energy Agency (IEA) issued a statement on the 11th saying that 32 member countries unanimously agreed to release 400 million barrels of strategic oil reserves to address the global oil supply tightness caused by the military strikes by the United States and Israel on Iran.

The IEA stated that this coordinated release of reserves is the sixth since its establishment in 1974 and the largest in scale.

Fattah Birol, Executive Director of the IEA, said this is a significant action aimed at alleviating the immediate impact of market disruptions. However, it must be clear that restoring transportation through the Strait of Hormuz is key to stabilizing the supply of oil and natural gas.

This decision has received support and responses from several countries including France, Germany, and Spain. Many nations have already developed plans and measures to prepare for releasing strategic oil reserves.

However, on March 12, international oil prices did not fall but rose. Brent crude oil surged by as much as 10%, returning above $100 per barrel. As of the time of writing, the gain in Brent crude narrowed to 4.67%, trading at $96.28 per barrel; WTI crude oil increased by 4.15%, trading at $90.87 per barrel.

Iran Warns U.S.: Prepare for $200 Oil Prices

According to Caixin, on the same day the IEA announced the “largest-ever release of oil reserves,” Iran warned the U.S. that it is ready for oil prices to reach $200 per barrel.

Based on reports from CCTV International and other media, Iranian Hatam Anbia Central Command spokesperson emphasized on Wednesday (March 11) that any ships belonging to the U.S., Israel, and their partners, or their oil cargoes, are considered “legitimate targets” for Iranian armed forces.

The spokesperson stressed that Iran’s previous “tit-for-tat” responses are over, and from now on, Iran will implement a “chain attack” strategy, no longer maintaining a one-to-one retaliation pace.

He also warned that Iran is fully capable of blocking the Strait of Hormuz. He explicitly stated, “We will never allow even a drop of oil to pass through the Strait of Hormuz under circumstances favorable to the U.S. and its allies.”

He further said that Western attempts to lower global oil and energy prices through external intervention are doomed to fail. “Prepare for oil prices to rise to $200 per barrel, because oil prices depend on regional security, and this is something you are destroying,” the spokesperson told Washington.

This spokesperson has issued the “$200 per barrel” warning more than once. On March 8, he told the U.S. and Israel that if they can tolerate oil prices exceeding $200 per barrel, “then continue this game.”

Additionally, according to Xinhua, on March 10, Iran’s Tasnim News Agency reported that Iranian Islamic Revolutionary Guard Corps spokesperson Naini said that in the event of an attack on Iran, Iran will not allow “the enemy and its allies” to export oil from the region. Naini also threatened that Iranian armed forces are waiting for the U.S. Navy at the Strait of Hormuz, expecting the arrival of the USS Ford aircraft carrier.

Two Oil Tankers Attacked in Iraqi Waters

Domestic Oil Terminals Halt Operations

Currently, tensions in the Strait of Hormuz continue to escalate. The latest reports indicate that multiple ships have been attacked in the Gulf waters.

A photo released by the Thai Navy on March 11 shows a Thai cargo ship on fire after being attacked in the Strait of Hormuz. Source: Xinhua News Agency

According to Xinhua, Iraq’s News Agency reported on the 12th that two oil tankers were attacked in Iraqi waters, resulting in one death. The Iraq Ports Authority announced that all oil terminals across Iraq have suspended operations.

The report said that Saad Ma’an, head of the security media center under the Iraq Joint Operations Command, confirmed earlier that two foreign oil tankers were attacked and set on fire near the southern Basra province, causing one crew member to die and 38 others to be rescued. Rescue efforts are ongoing.

Iraq did not disclose the specific time of the attacks on the two oil tankers.

Later, the Iraq Ports Authority announced that all oil terminals nationwide have suspended operations, but commercial ports remain operational.

The Iraqi Ministry of Oil issued a statement on the 12th saying that a new round of regional conflict has affected multiple countries in the region, causing negative impacts on the global economy and energy markets. The statement called on all parties to exercise restraint, ensure that maritime transportation channels and energy infrastructure are unaffected by the conflict, and safeguard global energy market security to maintain regional and global economic stability.

Additionally, according to CCTV News, the UK Maritime Trade Operations (UKMTO) reported on the 12th that a cargo ship was hit by an unidentified projectile near the Strait of Hormuz, and the vessel caught fire.

UKMTO issued a statement saying the incident occurred 35 nautical miles north of Alishan, UAE. All crew members are safe, and investigations are ongoing.

On March 11, UKMTO reported that a cargo ship was struck by an unidentified projectile near the Strait of Hormuz, causing the vessel to catch fire. The incident happened 11 nautical miles north of Oman.

(Source: Daily Economic News)