LONDON, March 16: Oil prices fell amid escalating attacks on Gulf export facilities.
Brent crude futures dropped 92 cents to $102.22 a barrel, while U.S. West Texas Intermediate slid $3.45 to $95.26.
The United Arab Emirates has cut oil output by over half after a drone attack damaged the Fujairah port terminal, halting crude loading operations at the key export hub.
Some loading resumed, with two of three single-point moorings now operational. The port handles about 1 million barrels per day of Murban crude-roughly 1% of global demand.
President Donald Trump is urging allies to secure the Strait of Hormuz, a critical waterway for 20% of global oil and LNG shipments.
British Prime Minister Keir Starmer pledged support for a viable reopening plan without direct military involvement.
The International Energy Agency warned the Middle East conflict has triggered the largest oil supply disruption in history, with Saudi Arabia, Iraq, and the UAE reducing output.
U.S. Treasury Secretary Scott Bessent said no market intervention has occurred yet, pending conflict duration.
The IEA plans to release over 400 million barrels from reserves-record draw-to curb price spikes, starting with Asia and Oceania stocks immediately, followed by Europe and Americas by end-March.
SEB’s Meyersson cautioned markets remain anxious as conflict enters its third week, with no clear resolution in sight.
U.S. Energy Secretary Chris Wright expects war cessation within weeks, followed by supply recovery and falling energy costs.