LONDON: Global crude oil prices witnessed a sharp increase following reports of a possible blockade of the Strait of Hormuz by the United States, triggering renewed concerns over supply disruptions in the energy market.
Brent crude oil prices rose by $7, crossing the $102 per barrel mark, while West Texas Intermediate (WTI) also climbed by $6.50, trading at around $103 per barrel.
The spike in prices has been accompanied by a dramatic rise in shipping insurance premiums in the Gulf region, which have reportedly surged by up to 1,000 percent. As a result, a $150 million oil tanker is now required to pay nearly $7.5 million in insurance costs.
Meanwhile, demand for alternative energy sources continues to grow globally, with China emerging as a key player in the sector. Exports from Chinese renewable energy companies have increased by 57 percent, reflecting a strong shift toward cleaner energy solutions.
In contrast, the Organization of the Petroleum Exporting Countries (OPEC) has expressed concerns over a potential decline in global oil demand in the coming years, highlighting uncertainty in future energy market trends.
