Up to $150 per barrel: Qatar predicts significant increase in oil prices
6 March 13:34
On Friday, March 6, the price of crude oil reached its steepest weekly increase since February 2022, when Russia launched a full-scale invasion of Ukraine, as the conflict in the Middle East blocked shipping and energy exports through the vital Strait of Hormuz. Brent crude futures rose 20% this week, while West Texas Intermediate crude prices jumped 25%, "Komersant Ukrainian" reports, citing Reuters.
On Friday, the price of Brent continued to rise, climbing $2.09, or 2.45%, to $87.50 per barrel. The price of WTI crude oil rose by $3.76, or 4.64%, to $84.77. Both benchmarks traded at their highest levels since July 2024.
$150 per barrel?
Qatar’s energy minister told the Financial Times that he expects all Gulf energy producers to halt exports within weeks, which he said could push oil prices to $150 per barrel, according to an interview published on Friday.
Oil prices began to rise sharply after the US and Israel launched strikes against Iran on Saturday, February 28, prompting Tehran to halt tanker traffic through the Strait of Hormuz, through which about a fifth of the world’s daily oil supplies pass. Since then, the conflict has spread to key Middle East energy producers, disrupting production and forcing refineries and liquefied natural gas plants to shut down.
“With each passing day, the shutdown in the Strait of Hormuz will have two major consequences for oil: the inability to store 20 million barrels per day and the lack of revenue for the world, which could lead to an increase in global energy prices,” said Priyanka Sachdeva, senior market analyst at Phillip Nova.
US President Donald Trump said in an exclusive interview with Reuters on Thursday that he was not concerned about rising gasoline prices in the US linked to the conflict, adding that “if they go up, they go up” and that US military action was his priority.
A White House official said the US Treasury Department is expected to announce measures to combat rising energy prices due to the conflict, which briefly led to a more than 1% drop in prices on Friday.
