Brent crude rose more than four per cent on Monday, reaching about **109 dollars a barrel**, while U.S. West Texas Intermediate crude also climbed above 104 dollars a barrel, according to Reuters.
The increase followed fresh attacks on Saudi Arabian energy infrastructure and vessels operating in the region, adding to concerns about the ability of major oil producers to transport crude safely to international markets.
The latest escalation comes as shipping through the strategically important Strait of Hormuz remains severely disrupted.
The waterway is one of the world's most important routes for the transportation of oil from the Gulf to international markets.
Any prolonged disruption therefore has the potential to affect global supplies and push energy prices higher.
The situation has been further complicated by attacks involving Houthi forces in Yemen.
The Houthis have launched attacks on Saudi targets, while the wider conflict has also affected commercial shipping in and around the Gulf.
Saudi Arabia has also temporarily shut its East-West oil pipeline after it came under aerial attack.
The pipeline provides an alternative route for transporting Saudi crude to the Red Sea and has become particularly important because of the disruption around the Strait of Hormuz.
The pipeline shutdown has increased concerns about how much oil can reach international markets if maritime routes remain unsafe.
Reuters reported that the outage could threaten a significant portion of global crude supplies if it is prolonged.
The impact is already being felt in energy markets.
Brent crude has remained above 100 dollars a barrel, while traders are increasingly concerned that the conflict could continue to restrict oil supplies.
Higher oil prices can have consequences far beyond the energy sector.
They can increase the cost of petrol, diesel, aviation fuel, transportation and industrial production.
Countries that import petroleum products may face higher import bills, while consumers can experience increased costs for transportation and other goods.
The rise in crude prices could also increase inflationary pressure at a time when central banks are closely monitoring energy and consumer prices.
For now, the duration of the disruption remains uncertain.
Much will depend on developments around the Strait of Hormuz, the security of Gulf shipping and whether diplomatic efforts can reduce the conflict.
But with attacks continuing and major shipping routes under pressure, concerns over the stability of global oil supplies remain high.
Khadija Ishaq Yusuf
A passionate reporter with an interest in covering stories that affect communities and society. She is committed to gathering accurate information, conducting interviews, and reporting news in a clear, balanced, and responsible manner.
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