In the midst of the ongoing war involving the United States, Israel, and Iran, tensions are driving global oil prices higher—and Iran is issuing a stark warning about how much worse things could get.
A spokesperson from Iran’s Khatam al-Anbiya Central Headquarters (the military’s joint command, linked to the Islamic Revolutionary Guard Corps) recently stated that if U.S. and Israeli strikes on Iran’s energy facilities continue, oil prices could climb above $200 per barrel. The spokesperson, Ebrahim Zolfaghari, was quoted saying something along the lines of: “If you can tolerate oil prices exceeding $200 per barrel, then continue this game.”
This comes as crude oil prices have already surged past $100 a barrel for the first time since 2022, with some reports showing spikes even higher in recent trading sessions amid fears of supply disruptions.
What Sparked the Warning?
Over the weekend, Israeli airstrikes targeted several oil storage facilities and related sites in Tehran and nearby areas, including depots in the capital and Alborz province. These attacks caused large fires, thick smoke across the city, and temporary disruptions to fuel supplies. Iran reported civilian impacts, including forced cuts to fuel allowances for drivers as the government manages shortages.
In response, Iran has threatened to retaliate by targeting oil facilities in neighboring countries, including major producers like Saudi Arabia, Iraq, and Kuwait. Iran and its allies have already struck some regional energy sites since the conflict intensified, contributing to reduced output in the area.
The Strait of Hormuz—a critical chokepoint for about one-fifth of the world’s oil supply—has also seen disruptions, adding to market jitters.