Oil prices climbed sharply in global markets as tensions escalated in the Middle East, with reports of Iranian attacks on UAE-linked ports and vessels.
The developments have raised fresh concerns over global energy security.
The Strait of Hormuz, a key oil shipping route, has once again come under intense focus.
Oil benchmarks recorded a strong rise on Monday following escalating geopolitical tensions.
Brent crude futures climbed $5.75, or 5.3%, reaching $113.92 per barrel at 12:03 p.m. EDT (1603 GMT).
West Texas Intermediate (WTI) crude also rose $3.54, or 3.5%, to $105.48 per barrel.
Market analysts linked the spike to fears of supply disruptions in the Middle East Gulf.
Iran expands control near Strait of Hormuz
Iran’s Revolutionary Guards Navy reportedly issued a map expanding its declared control zones near the Strait of Hormuz.
The areas now reportedly include UAE’s ports of Fujairah and Khorfakkan, along with the coast of Umm Al Quwain.
The Strait of Hormuz is one of the world’s most critical energy chokepoints, with nearly 20% of global oil and LNG passing through it before recent regional escalations.
Attacks on UAE Ports
Iran has reportedly targeted UAE ports and vessels in recent developments across the Gulf region.
Earlier, UAE authorities accused Iran of attacking an empty crude oil tanker belonging to ADNOC using drones during its transit through the Strait of Hormuz.
Separately, the United Kingdom Maritime Trade Operations (UKMTO) reported incidents involving cargo vessels near Dubai, alongside another maritime incident in the area.
US Navy responds in Gulf Waters
In response to rising tensions, the U.S. Navy deployed two guided-missile destroyers into the Gulf.
According to reports, the deployment aims to counter what was described as an Iranian blockade in the Strait of Hormuz.
The U.S. also confirmed that two American merchant ships successfully transited the strait during the ongoing situation.
South Korea reported a fire and explosion on a vessel operated by HMM in the region, further intensifying maritime safety concerns.
Analysts warn that continued disruptions in the Strait could significantly impact global energy flows and shipping stability.
The UAE energy minister stated that the country remains committed to meeting global oil demand without restrictions, despite recent geopolitical tensions.
The statement came shortly after the UAE exited OPEC, signaling a shift in its energy policy approach.
Meanwhile, OPEC+ agreed to raise oil output targets by 188,000 barrels per day in June for seven member countries, marking the third consecutive monthly increase.
