Energy Aftermath: Oil Prices Surge Nearly 6% Weekly Amid New Tanker Attacks in Strait of Hormuz and Stalled U.S.-Iran Talks

International oil prices rose over 1% on Friday (14th), ending the week higher, driven by fresh attacks on two oil tankers and stalled peace talks between the Trump administration and Iran.

Brent crude futures gained $1.45, or 1.67%, closing at $88.52 per barrel.

West Texas Intermediate (WTI) crude futures rose $1.15, or 1.42%, to settle at $82.40 per barrel.

For the week, Brent surged 6%, while WTI climbed 5.4%.

Andrew Lipow, president of Lipow Oil Associates, said: "A new wave of tanker attacks, coupled with no progress on ceasefire agreements, drove a pre-weekend rally in oil prices."

Lipow warned that if shipping through the Strait of Hormuz—responsible for transporting about 20% of global energy supply—remains constrained, a "day of reckoning" could occur: "Crude might be $80 a barrel, but diesel could be $180 and gasoline $130. That’s what really hits consumers."

As ceasefire negotiations stall, the U.S. said Thursday it may indefinitely maintain its maritime blockade on Iran and intensify economic pressure on Tehran.

U.S. Treasury Secretary Scott Bessent said: "More measures will be announced next week, as the tools we are deploying represent unprecedented actions in the history of economic isolation against a nation."

Shipping Slows Through Strait of Hormuz

Amid mutual claims by the U.S. and Iran over control of the Strait of Hormuz, shipping volumes through the strait have dropped below this month’s average levels.

Two vessels owned by Abu Dhabi National Oil Company (ADNOC) were attacked Thursday while transiting the Strait of Hormuz. The UAE’s state news agency WAM reported that the UAE government condemned the incident as an attack by Iran.

Phil Flynn, senior analyst at Price Futures Group, said: "The headline pushing oil prices higher is the tanker attacks."

Flynn also noted that Ukraine’s attack on the Novorossiysk port is contributing to rising oil prices.

Crude oil exports from the Sheskharis terminal at Russia’s Black Sea port of Novorossiysk were suspended Friday following a drone attack, three sources said, further disrupting a key Russian crude export hub.

Despite constrained crude supplies from the Middle East, OPEC forecasts slowing oil demand growth, while U.S. crude inventories posted their largest weekly increase in over three and a half years.

Norbert Rucker, Head of Economics and Next-Generation Research at Julius Baer, said: "This week’s reports from the IEA and U.S. EIA are noteworthy. Inventory levels are far better than the market initially feared, which should weigh on oil prices."

The dual pressure of geopolitical risk and resilient supply is creating volatility in global energy markets, with traders closely watching developments in the Middle East and Black Sea regions for further supply disruptions.