Iranian Official Warns of Prolonged Oil Price Surge if US Attacks Power Plants
An Iranian official has issued a stark warning that global oil prices could soar and remain elevated for an extended period if the United States proceeds with its threat to target Iran's power plants. This caution comes amid escalating tensions in the Middle East, with the Strait of Hormuz, a critical maritime passage for oil shipments, currently blocked by Iran since the conflict began on February 28.
Threats and Counter-Threats Over Strait of Hormuz
US President Donald Trump has threatened to "obliterate" Iran's power grid if the Strait of Hormuz is not fully reopened within 48 hours. In response, Iranian Parliament Speaker Mohammad Bagher Ghalibaf stated on social media platform X that if US strikes occur, Iran will consider regional critical infrastructure, energy facilities, and oil installations as legitimate targets for irreversible destruction. He emphasized that this would lead to sustained high oil prices worldwide.
Meanwhile, an Iranian representative to the UN's International Maritime Organization, Ali Mousavi, claimed the strait is open to all shipping except vessels linked to "Iran's enemies," suggesting safe passage can be arranged through diplomacy. However, he blamed US-Israeli attacks for the current situation, highlighting the need for mutual trust and a cessation of aggression.
Military Escalations and Regional Impacts
The conflict has seen significant military actions, including Iran's first operational use of intermediate-range ballistic missiles (IRBMs) targeting the UK-US base at Diego Garcia. One missile was intercepted by a US warship, while another failed in flight, but the attempt marked a new phase in Iran's capability to threaten interests beyond the Middle East. The UK Ministry of Defence condemned these "reckless attacks," and Israeli Defence Forces noted Iran's potential to strike cities up to 4,000km away, including in Europe.
In other developments:
- Saudi Arabia reported intercepting one missile and two others landing in uninhabited areas near Riyadh, while expelling Iranian diplomats over escalating conflicts.
- Lebanon confirmed four deaths and seven injuries from Israeli strikes in towns like Sultaniyeh and Marjeyoun.
- The International Atomic Energy Agency reported no abnormal radiation levels after a missile landed near Israel's Negev nuclear research centre, though it urged military restraint near nuclear facilities.
Political Reactions and Domestic Concerns
UK Housing Minister Steve Reed addressed domestic fears, stating there is "no specific assessment" that Iran could target the UK, but warned Britons to prepare for potential food and fuel shortages. He reiterated that the UK will not be dragged into the war but will take defensive actions to protect national interests. Additionally, Iranian Foreign Minister Abbas Araghchi criticized the UK's decision to allow US use of British bases for strikes, claiming it endangers British lives.
Globally, G7 nations have expressed readiness to protect energy supplies, and Japan has floated the idea of minesweeping in the Strait of Hormuz post-ceasefire. Ukrainian President Volodymyr Zelenskyy praised UK Prime Minister Keir Starmer's potential to rebuild relations with Trump, emphasizing the importance of a strong NATO alliance.
As internet blackouts in Iran enter their 23rd day, the longest in the country's history, and casualties mount with over 1,500 deaths reported in Iran, the situation remains volatile, with oil markets closely watching for further escalations that could disrupt global energy flows.
