Global Oil Prices Surge Sharply, Brent Crude Breaks Through 111 Dollars Per Barrel

Global crude oil prices surged sharply during Monday trading (9 March 2026), driven by escalating tensions in the Middle East that are disrupting global energy supplies.

The widening conflict involving the United States, Israel, and Iran has prompted several major oil producers in the region to begin cutting production. According to Reuters, concerns over potential disruptions to shipments through the strategically crucial Strait of Hormuz have triggered an oil price surge to the highest level since July 2022.

On Monday (9 March 2026) at 08:15 WIB, Brent crude for May 2026 delivery surged by $18.35, or 19.8 per cent, to $111.04 per barrel.

In early trading sessions, WTI briefly surged by $20.34, or 22.4 per cent, to $111.24 per barrel.

This surge continues the sharp rally that occurred throughout the previous week, with Brent crude up 27 per cent and WTI rising 35.6 per cent.

Supply pressures have become apparent following production cuts by Iraq and Kuwait, compounding earlier liquefied natural gas supply reductions from Qatar due to the war obstructing energy shipments from the Middle East.

This situation has the potential to result in higher fuel prices for consumers and businesses worldwide for weeks or even months to come. This could occur even if the week-long conflict ends quickly, as suppliers still face facility damage, logistics disruptions, and heightened shipping risks.

“I think prices have strengthened this morning because of reports that Middle Eastern producers are now cutting production because storage facilities are rapidly filling up,” said ANZ senior commodities strategist Daniel Hynes.

Iraqi oil production from major fields in the southern region has reportedly fallen by up to 70 per cent to around 1.3 million barrels per day.

This decline stems from the country’s inability to export oil through the Strait of Hormuz due to the war with Iran, according to three industry sources on Sunday.

An official from the state-owned Basra Oil Company stated that crude oil storage capacity has reached maximum levels.

Attacks on energy infrastructure in the region continue. The Fujairah Media Office reported that a fire broke out in the Fujairah oil industrial zone in the United Arab Emirates following debris impact, though there were no reported casualties.

Meanwhile, the Saudi Arabian Defence Ministry stated that it has intercepted a drone heading towards the Shaybah oil field.