World Bears Oil and Gas Price Surge Due to US-Israel Attack on Iran

Oil prices continue to rise while global shares fall today, Thursday (19/3). Brent crude futures, the global benchmark, have surged to $108.51 per barrel, up 4.92%. US crude prices rose to $98 per barrel, an increase of 1.86%. This rise occurred after the Pars gas field in Iran was attacked, following which Tehran warned Saudi Arabia, the UAE, and Qatar that their oil and gas facilities would be targeted in the coming hours. Natural gas prices in Europe also jumped 6.6% to nearly 55 euros (about $63) per MWh. (Aljazeera/P-3) The global oil price surge due to the Iran war. Moody’s economist warns of 49% recession odds and risk of prices reaching $200 per barrel. The surge in global oil prices due to the escalation of the Middle East conflict could be the right momentum to accelerate the implementation of the 50 percent biodiesel policy or B50. IATA reports jet fuel prices surged 82.8% in a month due to the war in Iran. This cost pressure threatens global airline margins and triggers passenger ticket price hikes. President Donald Trump criticised NATO allies reluctant to get involved militarily in the Strait of Hormuz as oil prices surged due to the Iran conflict. UK Prime Minister Sir Keir Starmer and Donald Trump intensively discussed reopening the Strait of Hormuz. India is the world’s fourth-largest LNG buyer and heavily relies on the Middle East for its imports. Chairman of Commission XII of the Indonesian House of Representatives (DPR RI) from the Golkar Party Faction, Bambang Patijaya, emphasised that the Fixed Domestic Gas Price (HGBT) policy needs to be evaluated. Finance Minister Purbaya Yudhi Sadewa stressed that the economics of gas prices produced by Inpex in the Masela Block must remain competitive. The Ministry of Industry (Kemenperin) regrets the actions of one gas producer, namely PGN, which is building a narrative of supply restrictions for users of fixed domestic gas prices (HGBT). The Ministry of Industry (Kemenperin) has formed a Crisis Centre for Industries Using Fixed Domestic Gas Prices (HGBT).