LAST INFORMATION 22:45
Oil prices jumped Monday as critical energy infrastructure and tankers in the Middle East were attacked again, marking a significant escalation in the US-Iran war, Bloomberg broadcasts.
Brent's contract was found winning up to 6.6% over all 115 dollars. the barrel after an Iranian attack with an unmanned aircraft that caused a fire in a key industrial oil zone in Fujira, United Arab Emirates. The attack injured at least three people.
The American WTI delivered June was strengthened 4.4% and closed at 106.42 dollars. the barrel in New York, while Brent July jumped 5.8% and climbed to $14.44 a barrel.
The UAE's foreign ministry issued a statement indicating that it retains its "full and legal" right to respond to Iranian attacks. According to the same source, Iranian attacks mark a serious escalation and pose a direct threat to the country's security.
A little earlier, Iranian state media, citing a senior military officer, assured Iran had no plans to target the UAE.
Prices were already higher during the meeting, as tankers had already reported being fired at the critical Strait of Hormuz.
The wave of attacks represents the most notable increase in tensions during the fragile ceasefire agreement between the US and Iran that entered into force early April. Every day transit through the vital shipping route is blocked, the world market loses millions of barrels of oil increasing fears of a global economic recession.
Fujira is an important hub for both crude oil and fuel and has gained increased importance for both UAE and global markets due to its position outside the Strait of Hormuz.
On Monday, Iran "redefined the control zone" in the alley, extending from south of Mount Mobarak to Iran to south of Fujira, semi-official Tasnim reported. In particular, Iran's Guard Navy issued a map that, as it says, shows the expansion of areas under Iranian control near the Straits of Hormuz, including the ports of Fujira and Horfakan as well as the coasts of Um al Quain emirat.
The escalation came after the announcement by American president, Donald Trump that the American army plans to try to restore transit through the Straits in order to help immobilised ships leave the Persian Gulf.
However, several shipowners and a ship manager with whom Bloomberg contacted said that more specific details would be needed on the possibility of re-transit through Hormuz, as well as assurances on key concerns, such as mines and security from Iranian attacks. They asked not to be named because of the sensitivity of the issue.
Meanwhile, the U.S. Central Administration announced that already two US flaged merchant ships successfully crossed the strait, adding that the military is actively working to restore the flow.
U.S. Navy guided-missile destroyers are currently operating in the Arabian Gulf after transferring the Strait of Hormuz in support of Project Freedom. American forces are actively assisting accomplishments to restore transit for commercial shipping. As a first step, 2 U.S.-flagged merchant... pic.twitter. com/SVDxDhK72I
— U.S. Central Command (@CENTCOM) May 4, 2026
There were five US flag ships in the Persian Gulf in late February, but none of them have activated the Auto Recognition System signal for weeks, according to Bloomberg.
