Potential Surge in Crude Oil Prices Amid US-Iran Tensions

Rystad Energy forecasts a potential rise in crude oil prices to $150 per barrel amid escalating tensions between the US and Iran. With significant disruptions in oil production across Gulf nations, the market faces uncertainty. The report highlights that the ongoing conflict has already led to a loss of 1 billion barrels of oil supply in recent months. As geopolitical tensions rise, the impact on oil prices is becoming increasingly volatile, with Brent Crude currently priced at around $95 per barrel. The coming days will be critical in determining the future trajectory of oil prices and the potential for diplomatic resolutions.

By Narendra Chaudhary Jun 11, 2026, 12:09 IST

Impact of Geopolitical Tensions on Oil Prices

According to Rystad Energy, an independent research and energy intelligence firm based in Norway, crude oil prices could potentially rise to $150 per barrel if the ongoing tensions between the United States and Iran escalate further. The analysis reveals that approximately 11.8 million barrels per day of oil production is currently offline across six Gulf nations, marking a significant disruption in the energy market. Jorge Leon, Senior Vice President and Head of Geopolitical Analysis at Rystad Energy, noted that it remains uncertain whether the current situation signifies a full-scale return to hostilities or a precarious yet manageable episode. He highlighted that the volatility in oil prices reflects the uncertainty surrounding the conflict.

Leon mentioned that the immediate effects of this disruption might be alleviated by record releases from strategic petroleum reserves, reduced crude imports from China, and the ongoing transport of about 5 million barrels of crude daily through Saudi Arabia’s Yanbu export route, which circumvents the Strait of Hormuz. He emphasized that the upcoming days are crucial in determining whether diplomatic efforts can prevail or if the conflict will escalate further.

Rystad Energy's report indicates that the ongoing conflict in West Asia has already resulted in a loss of around 1 billion barrels of crude oil supply from global markets over the past three months, equivalent to nearly two and a half times the total capacity of the US Strategic Petroleum Reserve. Following recent US strikes against Iran and Iran's announcement of closing the Strait of Hormuz, crude oil prices have surged. Currently, Brent Crude is priced at approximately $95 per barrel, while US West Texas Intermediate (WTI) Crude is around $91 per barrel.