Iran-US war live: Oil prices surge after Trump threatens to ‘massively blow up’ Iranian gas field

Bent on regime change by attacking Iran from the air, Israel and America failed to plan for a war beyond bombing, but Tehran has spent decades preparing to frustrate exactly the kind of conflict it is now enduring.

Iran’s regime has a system known as the “mosaic defence”, which has been implemented for battlefield decision-making, counterattacks and state oppression.

Tehran knew that Israel planned to lead American attempts to destroy its theocracy by using its staggering levels of air power.

The result, nearly three weeks into the air war against Iran, is that its headless government lives on.

It has been planning for the moment when Iran’s leadership was, literally, wiped out and decapitated, creating a system to devolve, delegate and disperse its decision makers.

Its relative success is shown by the continued, though reduced, attacks by Iran on its neighbours and US bases in the Gulf and its ability to strangle the Strait of Hormuz, even though supreme leader Ali Khamenei has been killed, as well as Ali Larijani, who, as secretary of the Supreme National Security Council, led Iran’s systems of state oppression.

Swedish prime minister Ulf Kristersson said on Thursday the government is ready to act on power price supports if the surge in costs becomes long-term.

This would see the government intervene to reduce or cap oil prices for everyday consumers, after oil prices on Thursday morning hit $114 per barrel.

“We are ready to act on power price support and heating prices if this has long-term effects,” Mr Kristersson said according to the Reuters news agency.

UK MaritimeTrade Operations (UKMTO) issued a warning after a report of an incident four nautical miles east of Ras Laffan, Qatar, where Iran struck oil facilities over Wednesday night.

“It has been reported to UKMTO that a vessel has been hit by an unknown projectile. All crew are reported safe and well.

“Vessels are advised to transit with caution and report any suspicious activity to UKMTO while authorities continue to investigate.”

Karl Matchett, Business and Money Editor reports:

Brent oil is now up more than 13 per cent in the space of a week after another overnight surge, sitting at $114 – it’s highest peak since May 2022. Major economic concerns will now be growing over inflationary pressures caused by the price rise, as analysts have continually pointed to the fact it’s prolonged periods, rather than sharp peaks, which cause lingering problems – and it’s now a full week that oil has been at, or over, $100.

The price prior to the first strikes on Iran sat at around $70. Elsewhere there are similar concerns. European natural gas futures are this morning trading at just under 68 euros per MWh, having previously been trading in a narrow band between 50-52 Eur/MWh, a massive jump of close to a third overnight.

Heating oil, so far, remains unchanged – it has been around 130p/litre and has been for much of the past couple of weeks, but remains one to watch.

Oil giant Saudi Aramco’s SAMREF refinery in the Red Sea ⁠port of Yanbu was targeted in an aerial attack on Thursday, an industry source said, adding there was minimal impact, after other attacks on energy facilities in Qatar and the UAE in response ⁠to US-Israeli attacks on Iranian energy ​installations.

Iran’s Islamic Revolutionary Guard Corps had issued an evacuation warning to several oil facilities across Saudi Arabia, the UAE and Qatar, including SAMREF, which is a joint venture between Saudi Aramco and Exxon Mobil.

The warning followed a strike on Iran’s South Pars gas field, a major escalation in the war with the United States and Israel.

Yanbu has been one of two major export outlets for any crude oil out of Gulf Arab countries since Iran effectively shut the Strait of Hormuz after the war erupted late last month. The strait, a narrow waterway between Iran and Oman, normally carries a fifth of the world’s oil supply.

The other major export outlet is the United Arab Emirates’ port of Fujairah, which has come under a series of attacks that suspended operations there. It was not immediately clear whether loadings were operational on Thursday.

Saudi Aramco did not immediately respond to an emailed request for comment.

Iran seeks compensation from the United Arab Emirates, accusing ⁠it of enabling US attacks against Iranian territory, Iran’s ⁠UN ​ambassador told ⁠the UN Secretary General in ⁠a letter according ​to ⁠a Nournews ‌report published on Thursday.

In the letter, Amir ‌Saeid Iravani said ‌the UAE’s decision to allow its ⁠territory to be used for the strikes constituted “an internationally wrongful act that entailed state responsibility.”

Tehran said the UAE had an international responsibility to provide reparation, including compensation for all material and moral damages incurred.

Qatar’s emir and Emmanuel Macron have spoken by phone following Iranian missile strikes on the Ras Laffan Industrial City.

Sheikh Tamim bin Hamad Al Thani and the French president condemned the attack as “a dangerous escalation that threatens the security and stability of the region and undermines the security of global energy supplies,” according to a readout of the call.

The emir said the continued targeting of vital facilities posed “a direct threat to regional and international stability” and called for international diplomatic efforts to prevent the crisis from widening.

Mr Macron also said he had spoken with US president Donald Trump following the strikes. “It is in our common interest to implement, without delay, a moratorium on strikes targeting civilian infrastructure, particularly energy and water supply facilities,” he wrote on X.