Conflict is forcing producers to slash production and close ports as Iran steps up attacks on energy infrastructure.
The United States said this week that it had attacked 16 Iranian mine-laying vessels near the Strait of Hormuz. In the 1980s, Iranian mines damaged oil tankers and a U.S. Navy warship.
An attack off the Iraqi coast engulfed two oil tankers in flames, killing at least one person. Senior Iraqi officials believe the attack was Iranian.
The move aims to prevent prices from rising further because of the war in the Middle East.
The United States and Israel launched more strikes against Iran, where crowds mourned military commanders killed in the war. Israel also bombed targets in Lebanon, where the death toll climbed.
The members of the International Energy Agency will release 400 million barrels of oil, the largest such coordinated action on record.
The low-grade oil has been used to fuel power plants amid Iran’s international isolation. Tanks of mazut may now be burning near the city.
In the lead-up to the U.S.-Israeli attack, President Trump downplayed the risks to the energy markets as a short-term concern that should not overshadow the mission to decapitate the Iranian regime.
Iranians cowered under the barrage as Pete Hegseth, the U.S. defense secretary, said the U.S. aimed to wipe out Iran’s capacity to obtain nuclear weapons “forever.”
Now 11 days into an expanding military campaign, President Trump and his officials have given conflicting indications on how long the United States intends the war to last.