Asian oil prices rise sharply

Oil prices in Asia jumped in the morning trading session on June 16, after Israel and Iran conducted new military activities on June 15, raising concerns about a larger regional conflict - which could seriously affect global oil supplies from the Middle East.

Pumping gas for vehicles at a gas station in Quezon, Philippines. Illustration photo: THX/TTXVN

As of 5:53 a.m. on June 16 (Vietnam time), the price of North Sea Brent crude oil increased by 1.70 USD (equivalent to 2.3%) to 75.93 USD/barrel. Meanwhile, the price of US light sweet crude oil (WTI) increased by 1.62 USD (2.2%) to 74.60 USD/barrel. Earlier in the session, both types of oil had increased by more than 4 USD/barrel.

The latest spats between Israel and Iran have raised concerns about a possible regional war, with the strategic Strait of Hormuz at the centre of attention. The strait carries about a fifth of global oil consumption, or 18-19 million barrels a day, including crude, condensate and fuel.

Iran - a member of the Organization of the Petroleum Exporting Countries (OPEC) - currently produces about 3.3 million barrels per day and exports more than 2 million barrels of oil and fuel per day.

According to experts' analysis, in case of supply disruption from Iran, the spare production capacity of OPEC and its alliance partners, including Russia, can temporarily offset the deficit equivalent to Iran's current output.

Source: https://hanoimoi.vn/gia-dau-chau-a-tang-manh-705704.html