Oil Jumps $3 as Iran Reviews Bill to Ban US, Israeli Vessels from Hormuz

Alsharq Tribune- Zainab Hussin 

Oil prices rose by more than $3 a barrel on Thursday on news that an Iranian parliament committee is reviewing a bill that would ban US and Israeli vessels from the Strait of Hormuz and fine violators up to a fifth of the value of their cargo.

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 futures rose $2.49, or 3.31%, to $77.71, Reuters reported.

An Iranian lawmaker said a parliament committee is reviewing a preliminary bill to ban US, Israeli and other vessels deemed hostile from the Strait of Hormuz, and fine violators of the proposed restrictions up ⁠to 20% of ⁠cargo value, according to Fars news agency.

"Crude traders remain focused on the US/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 Iran conflict began in late February, about one-fifth of global daily oil and liquefied natural gas supplies flowed through the Strait of Hormuz.

Elsewhere, a major oil refinery in Russia's Yaroslavl region was on fire after a big Ukrainian drone attack and emergency services are working to put out the blaze, Mikhail Evrayev, the regional governor, said on Thursday.