WTI crude surged to $115.8 per barrel—its highest level since April 2008—as President Donald Trump warned that “a whole civilization will die tonight,” while strikes were reported on Iran’s Kharg Island, the hub for roughly 90% of the country’s oil exports.
The US President added that tonight will be “one of the most important moments in the long and complex history of the World,” as President Trump’s deadline quickly approaches.
Brent crude climbed to $111.0, with the strike keeping both benchmarks in crisis pricing territory as escalation risk moved directly into core oil infrastructure.
Strikes on Kharg Island put roughly 90% of Iran’s export capacity at risk. Any remaining flows still face constraints moving through Hormuz, which normally carries 20% of global oil flows.
Pricing is now reflecting both logistics and potential production loss.
WTI rarely trades at these levels. The last time it held above $115 was during the 2008 commodity supercycle. Then, demand and capacity drove the rally. Now, access and infrastructure are doing the work.
Trump has set a deadline for Iran to agree to terms to end the war, while also threatening strikes on additional infrastructure, including power plants and transport networks.
Iran has rejected those demands, with the Islamic Revolutionary Guards Corps (IRGC) warning that concessions allowing neighboring states to export through the Strait are over, and that US and allied infrastructure would be targeted across the region if “red lines” are crossed.
By Julianne Geiger for Oilprice.com
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