Brent crude is set to close above $100 for the first time since 2022 as tensions around the Strait of Hormuz intensify, OilPrice said.

ICE Brent is set to settle above $100 per barrel for the first time since August 2022, undeterred by the US’ easing of sanctions on Russia and the IEA’s mulled release of strategic petroleum stocks. The closure of the Strait of Hormuz sits front and centre to any oil price outlook, with Iran already striking at least 18 vessels since the US-Iran conflict started two weeks ago. 

The US government issued a 30-day waiver for all countries to buy Russian oil and petroleum products currently at sea, provided they loaded before March 12, the latest move by the Trump administration to tame rising crude oil prices amidst blocked Hormuz Strait flows. 

Kazakhstan’s largest oilfield, the 950,000 b/d Tengiz project, has suffered another fire incident, less than two months after a power plant blaze debilitated production for several weeks, however operator TCO indicated current output of 875,000 b/d will not be impacted.

Norway’s maritime authority ha forbidden Norwegian-flagged ships, currently totaling almost 1,500 vessels or 1% of the global tonnage, to enter the Strait of Hormuz until further notice, fearing reputational damage from its tankers being targeted by drones.  

/OilPrice/