Iran Plans to Ban U.S., Israeli Ships
PHOTO CAPTION: Birds fly over pump jacks at the Airankol oil field operated by Caspiy Neft in the Atyrau region, Kazakhstan, April 20, 2026. REUTERS/Pavel Mikheyev
HOUSTON, Aug. 6 — Oil prices rose by more than $3 a barrel Thursday after reports that an Iranian parliamentary committee was reviewing a bill to ban U.S., Israeli and other vessels deemed hostile from the Strait of Hormuz.
The preliminary measure would allow fines of up to 20% of the value of a vessel’s cargo for violating the proposed restrictions, an Iranian lawmaker said, according to the Fars news agency.
Brent crude futures gained $3.09, or 3.89%, to $82.54 a barrel by 12:37 p.m. EDT. U.S. West Texas Intermediate crude rose $2.49, or 3.31%, to $77.71.
“Crude traders remain focused on the U.S./Iran agreements, and the longer the delays, the more prices will fade back to the upside,” said Dennis Kissler, senior vice president of trading at BOK Financial.
Before the conflict with Iran began in late February, about one-fifth of the world’s daily oil and liquefied natural gas supplies moved through the Strait of Hormuz.
Oil prices also reacted to reports of renewed regional attacks. Yemen’s Iran-aligned Houthis said Thursday that they carried out missile and drone attacks on “Saudi deployments” in Yemen’s Marib and Hadramout regions, killing or wounding hundreds of Saudi-aligned fighters and destroying military camps, weapons depots and vehicles.
Reuters did not report independent confirmation of those claims.
“The market is going up and down as tensions rise and fall, and of course these attacks are a significant development because it is more activity in the other theatre, away from the Persian Gulf,” said John Kilduff, a partner at Again Capital. He said the attacks were a reminder that shipping through the Red Sea could remain at risk.
Regional risks remain
Gulf countries’ crude oil and condensate exports were largely steady in July but remained about 40% below prewar levels, shipping data showed.
Iran has warned Gulf states that renewed U.S. attacks on its territory would trigger retaliation against critical energy infrastructure across the region, according to five sources. Tehran is seeking to raise the potential cost of further military action by threatening Washington’s closest regional allies.
The Houthis said Wednesday that they had also launched missile attacks on a Saudi oil tanker near the kingdom’s Red Sea port city of Yanbu and on another Saudi tanker in the Gulf of Aden. Saudi Arabia did not confirm either reported incident.
“Houthi attacks so far have not significantly disrupted oil and gas supply, but this might change if attacks escalate further,” said Roberto Cominotto, an equity research analyst at Julius Baer.
Saudi Arabia has slightly reduced the official September selling price of its flagship Arab Light crude to Asian customers, according to a pricing document reviewed by Reuters.
Elsewhere, a major oil refinery in Russia’s Yaroslavl region caught fire following a large Ukrainian drone attack, regional governor Mikhail Evrayev said Thursday. Emergency crews were working to extinguish the blaze.
(Source: Reuters)
