Iran Launches New Regional Strikes as Global Oil Markets Brace for Turmoil
By Sabeeh Zanair :
Iran carried out fresh attacks across the Middle East early Wednesday, escalating tensions in a conflict that has already rattled global energy markets and triggered economic concerns worldwide.
According to regional officials, drones and missiles launched by Iran targeted several locations across the Gulf region, including a Saudi oil field. Air defence systems intercepted some of the incoming drones, authorities said.
The latest escalation follows weeks of fighting after the United States and Israel launched strikes on Iranian targets on 28 February, killing Iran’s Supreme Leader Ali Khamenei. His son, Mojtaba Khamenei, has since been named as his successor.
Oil markets on edge
The conflict has raised serious concerns about global energy supplies, particularly around the Strait of Hormuz, a narrow passage that carries about one-fifth of the world’s oil shipments.
The United States said on Tuesday that it had struck Iranian vessels capable of laying mines in the strait. Video footage released by United States Central Command showed boats being destroyed near the strategic waterway.
US President Donald Trump warned Iran of severe consequences if shipping lanes were disrupted.
“If mines are placed and not removed immediately, the military consequences for Iran will be unprecedented,” he wrote on social media.
Energy markets reacted nervously to the developments. Oil prices initially surged by around 5% late Tuesday before easing slightly following reports that the International Energy Agency may release the largest amount of emergency oil reserves in its history to stabilise supply.
Leaders of the Group of Seven are due to hold a virtual meeting later on Wednesday to discuss the war’s economic impact, particularly the global energy situation.
Iran vows to continue fight
Iran said it had launched what it described as its “most intense” wave of missile attacks against Israeli cities overnight, firing rockets for several hours.
Air raid sirens sounded across Jerusalem, while explosions were reported in Tel Aviv, according to local media.
Iran’s Islamic Revolutionary Guard Corps also said it had fired missiles towards Bahrain and Iraqi Kurdistan, where US forces maintain a significant presence.
Iranian parliamentary speaker Mohammad Bagher Ghalibaf said Tehran was not seeking a ceasefire.
“We believe the aggressor must be punished and taught a lesson,” he wrote on social media.
Impact spreads across region
The fighting has widened across the Middle East, with new Israeli strikes reported in Beirut and central Iran.
Lebanese officials say hundreds of people have been killed in Israeli attacks since early March, with more strikes hitting Beirut’s southern suburbs overnight.
In Qatar, explosions were reported as LNG exports were temporarily suspended, pushing European energy prices higher.
Meanwhile, the United Arab Emirates shut down its largest refinery at Ruwais as a precaution after a drone attack caused a fire at the industrial site.
The disruption has prompted warnings from the head of Saudi Aramco, Amin H. Nasser, who said prolonged instability could have “catastrophic consequences” for global oil markets.
Human and economic toll
The war has also spread into neighbouring countries. In Iraq, armed groups linked to Iran reported casualties after suspected US strikes, while drones targeted a military base near Baghdad International Airport.
Iran has accused Israel of killing four of its diplomats in a strike on a hotel in Beirut, a claim raised with the United Nations.
The wider economic effects are also being felt beyond the Middle East. The United Nations Conference on Trade and Development warned that rising fuel and food prices could disproportionately affect vulnerable populations worldwide.
In Egypt, where fuel prices have risen sharply, many residents say they are already struggling with the cost of living.
“We were barely managing before,” one Cairo resident said. “I don’t know how people will cope if prices rise further.”
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