Oil crosses $100 mark amid Iran warfare as violence erupts at petrol pumps in South Asia

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Your help makes all of the distinction. Learn extra Oil costs surged previous $115 (£86.47) a barrel on Monday as gasoline shortages sparked rationing and violence in South Asia, with no sign of ending to the warfare choking the world's most important vitality route.

Brent crude rose to $115.31 (£86.47) a barrel, up 24 per cent from Friday's shut and the very best since 2022, because the US-Israeli warfare with Iran entered its second week. The Strait of Hormuz remained successfully closed to most operators.

West Texas Intermediate crude hit $116.33 (£87.41), up 28 per cent. Brent has not traded at present ranges since Russia invaded Ukraine in 2022.

The surge in vitality costs is inflicting rationing and closure of petrol pumps in import-dependent South Asia. In Sialkot, Pakistan, a person opened hearth at a petroleum station on Saturday after staff refused to fill jerry cans throughout panic shopping for, killing one employee and critically injuring two others. Individually, a person was killed in Karachi in one other gasoline queue altercation.

Pakistan raised petrol costs by PKR55 (£0.15) per litre on Friday, the biggest ever single improve, to PKR321 per litre, after weeks of warnings that its publicity to Hormuz-linked provide was among the many highest of any rising market.

In Bangladesh, authorities on Monday introduced ahead college Eid holidays as an emergency measure to chop electrical energy use and ease gasoline stress after Qatar suspended LNG deliveries.

Officers mentioned college campuses devour massive quantities of electrical energy for residential halls, lecture rooms, laboratories and air con, and the early closure would assist ease stress on the nation’s strained energy system.

5 of the nation's six fertiliser factories have additionally closed.

Bangladesh already imposed day by day gasoline limits final week – motorcyclists are capped at two litres, personal vehicles at ten – after panic shopping for emptied stations throughout the nation.

"About 95 per cent of our gasoline should be imported," Bangladesh Petroleum Company mentioned, urging customers to not hoard.

In the meantime, larger economies are additionally affected. Japan mentioned on Sunday it had instructed a nationwide oil reserve storage web site to organize for a potential launch of crude, the primary such directive since 2022. Japan holds 254 days of emergency reserves, one of many highest, however sources 95 per cent of its crude from the Center East, with roughly 70 per cent shipped by the Strait.

<img src="https://static.independent.co.uk/2026/03/08/15/SEI288474945.jpg" srcset="https://static.independent.co.uk/2026/03/08/15/SEI288474945.jpg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2026/03/08/15/SEI288474945.jpg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="This video grab taken from UGC images posted on social media on March 7 and 8, 2026 shows fire erupting at an oil depot in Iran's capital Tehran. The United States and Israel launched strikes against Iran" class="sc-1mc30lb-0 ggpMaE inline-gallery-btn"/> open picture in gallery

This video seize taken from UGC photos posted on social media on March 7 and eight, 2026 reveals hearth erupting at an oil depot in Iran's capital Tehran. The US and Israel launched strikes towards Iran (UGC) India, which imports greater than 88 per cent of its oil, sought to calm considerations. Oil minister Hardeep Puri mentioned the nation held "adequate shares" and directed all LPG refineries, private and non-private, to extend manufacturing.

Analysts are actually warning that oil costs might exceed $150 a barrel – a degree that might be catastrophic for the worldwide financial system.

"Oil costs have now gathered all of the components for an ideal storm," Muyu Xu, senior oil analyst at Kpler instructed Reuters. "If the disruption within the Strait of Hormuz persists for one more one to 2 weeks, we might see costs transfer towards $130–150 a barrel."

BMI, a unit of Fitch Options, mentioned Pakistan and India are essentially the most susceptible main rising markets, citing their vitality import dependence and excessive publicity to Hormuz. Egypt and Turkey, it mentioned, face the best danger outdoors the Gulf due to fragile exterior positions and enormous vitality subsidies.

The shortages comes as Iraq, Kuwait and the UAE have lower oil manufacturing as storage tanks fill as a result of decreased capacity to export by the Strait.

Iran's parliament speaker Mohammad Bagher Qalibaf warned the warfare's impression on the oil trade "would spiral" after Israeli strikes on oil depots in Tehran and a petroleum switch terminal killed 4 folks in a single day.

Roughly 15 million barrels of crude oil, about 20 per cent of world provide, usually go by the Strait every day, in accordance with Rystad Vitality.

<img src="https://static.independent.co.uk/2026/03/03/16/30/iStock-2221378782.jpeg" srcset="https://static.independent.co.uk/2026/03/03/16/30/iStock-2221378782.jpeg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2026/03/03/16/30/iStock-2221378782.jpeg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="Map of the Strait of Hormuz with Sea Lanes, Surrounding Territories, and Shipping Routes" class="sc-1mc30lb-0 ggpMaE inline-gallery-btn"/> open picture in gallery

Map of the Strait of Hormuz with Sea Lanes, Surrounding Territories, and Transport Routes (Getty/iStock) The vitality minister of Qatar, one of many world’s largest LNG producers, warned that it expects all Gulf vitality producers to close down exports inside weeks if the Iran battle continues.

"Everyone that has not referred to as for drive majeure we anticipate will accomplish that within the subsequent few days if this continues, Saad al-Kaabi instructed FT on Friday. "All exporters within the Gulf area must name drive majeure.”

US vitality secretary Chris Wright instructed CNN on Sunday that fuel costs can be again below $3 a gallon "earlier than too lengthy", describing the spike as "a weeks, not a months factor".