… conflict wrecks key energy infrastructure, rattles global market
Oredola Adeola
Escalating hostilities between Israel and Iran have severely damaged critical oil infrastructure, triggering a sharp spike in global oil prices, as Brent crude surged by 11.71% from $66.45 on Monday, June 9, 2025, to $74.23 by June 13, 2025.
The last time WTI crude settled around the $74 mark before its recent jump on June 13, 2025, was in mid-January 2024.
Specifically, the price ranged between $74.00 and $74.32 during the weeks of January 1–19, 2024.
This development comes in the wake of OPEC+ decision to unwind about 2.2 million barrels per day of production cuts after April 1, 2025, even as global oil demand shows signs of slowing.
That weakened demand is largely driven by President Donald Trump’s escalating tariff wars, which are disrupting global trade and fueling inflation concerns.
Advisors Reports gathered that the conflict, which began under the codenamed “Rising Lion”, with an Israeli strike on an Iranian nuclear facility, has now extended beyond military targets to critical oil infrastructure in both countries, spiraling into broader regional warfare.
On Friday, a massive fire erupted at the Shahran oil field in western Tehran after Israeli airstrikes targeted the site, dealing a severe blow to Iran’s energy assets.
Iran launched a missile strike on Israel’s Bazan oil refinery complex, producing approximately 9.8 million tons of crude oil per year, located in the northern city of Haifa. It supplies more than 60% of the country’s fuel needs, including gasoline, diesel, and jet fuel for the Israeli Air Force.
Operators revealed that the refinery sustained localized damage leading to pipelines and transmission lines between facilities in the refinery complex.
The company says refining activities continue, although other facilities on the site have shut down. It adds that it is examining the impact on its operations and the return of the shuttered facilities to activity.
Consequently, growing risk to energy infrastructure in the Middle East has fueled panic in global markets.
Analysts warn that any further escalation could push oil prices even higher, disrupt global energy flows, and potentially trigger a broader economic fallout.
The uprising which started on June 12 saw over 100 high-value Iranian targets were struck.
Iran’s latest hypersonic missile attack on Tel Aviv has left 10 dead, 200 injured, and 7 missing, as the number of casualties from the barrages continues to rise.
Isreal’s operation in Iran has targeted and killed a significant number of Iran’s top military commanders, reportedly over 20 senior officials, including some of the highest-ranking figures in the Iranian regime’s military hierarchy.
This has likely prompted some officials to seek safety or escape routes, but direct confirmation of this is not available in the cited reports.
