Oil prices surge after Israeli strike on Iran
Global oil prices soared on June 13 after Israel launched a strike on Iran, triggering fears of a broader conflict in the energy-rich Middle East that could disrupt global supplies, the BBC reported.
The spike threatens to undermine Western efforts to choke off a vital revenue stream for Russia, which relies heavily on oil profits to sustain its war in Ukraine.
According to the BBC, Brent and Nymex crude prices jumped by more than 10% following the Israeli attack, reaching their highest levels since January. Prices later stabilized but remained about 7.5% higher, with Brent at $74.50 a barrel and Nymex at $73.20.
The price surge comes at a crucial time for Ukraine and its Western allies, who are intensifying efforts to minimize the Kremlin's oil revenues — the backbone of Russia's wartime economy.
President Volodymyr Zelensky urged the European Union on June 11 to impose tougher sanctions on Russia, including a more aggressive price cap on oil exports.
"A ceiling of $45 per barrel of oil is better than $60, that's clear," Zelensky said at the Ukraine-Southeast Europe Summit in Odesa. "But real peace will come with a ceiling of $30. That's the level that will really change the mindset in Moscow."
The EU's current $60 per barrel cap, introduced in December 2022, prohibits Western companies from shipping, insuring, or servicing Russian oil sold above the threshold. While this measure has curtailed some of Russia's profits, the Kremlin continues to earn significant revenue, especially when market prices rise.
European Commission President Ursula von der Leyen said on June 10 that the EU is considering lowering the cap to $45, a move that will be discussed at the G7 summit in Canada between June 15 and 17. According to Reuters, most G7 countries, excluding the U.S. and Japan, are prepared to proceed with the reduction regardless of Washington's stance.
Israeli Prime Minister Benjamin Netanyahu said early on June 13 that Israeli forces had launched "Operation Rising Lion," a preemptive strike targeting Iran's nuclear program. In a televised address, Netanyahu claimed Israeli forces struck Iran's main nuclear enrichment site in Natanz and targeted key nuclear scientists.
Read also: Key to Russia's defeat lies in its economy
We've been working hard to bring you independent, locally-sourced news from Ukraine. Consider supporting the Kyiv Independent.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
an hour ago
- Bloomberg
Russia Hits Kyiv's Civilian Infrastructure Killing At Least Five
By and Olesia Safronova Save Russia unleashed another massive missile and drone strike on Kyiv that killed at least five people as Moscow steps up aerial attacks on civilian infrastructure in Ukraine's capital. Another 19 people were injured, city mayor Vitaliy Klitschko said on Telegram on Monday morning, as a section of a residential building hit in the strike collapsed. The attack followed a similar pattern to last week's assault that killed 27 people. Recovery work continues and more casualties are likely trapped in the rubble, Interior Minister Ihor Klymenko said on Telegram.
Washington Post
an hour ago
- Washington Post
Russian attacks on Ukraine kill at least 5 and injure over a dozen
KYIV, Ukraine — A Russian drone and missile attack on Ukraine's capital overnight killed at least four people and injured others, according to Ukraine's emergency services, as rescue workers and firefighters sought to remove people they believed trapped under debris in a partially collapsed apartment building. The strikes came nearly a week after a combined Russian attack on Ukraine last Tuesday killed 28 people in Kyiv, 23 of them in a residential building that collapsed after sustaining a direct hit by a missile. Ukrainian President Volodymyr Zelenskyy called that attack one of the biggest bombardments of the war, now in its fourth year .
Yahoo
an hour ago
- Yahoo
Lammy says Middle East needs ‘diplomatic solution' after US talks
Foreign Secretary David Lammy has reiterated the need for 'regional stability' in the Middle East following talks with US officials, as Israel continued to strike Iranian targets on Monday. His remarks came after a meeting between US President Donald Trump and Prime Minister Sir Keir Starmer, held in the wake of US airstrikes on three Iranian nuclear sites. Mr Lammy also spoke with secretary of state Marco Rubio. 'Important discussion with @SecRubio this evening on the situation in the Middle East,' Mr Lammy wrote in a post on X. Important discussion with @SecRubio this evening on the situation in the Middle East. We will continue to work with our allies to protect our people, secure regional stability and drive forward a diplomatic solution. — David Lammy (@DavidLammy) June 22, 2025 'We will continue to work with our allies to protect our people, secure regional stability and drive forward a diplomatic solution.' In a Monday post on Truth Social, Mr Trump claimed the US strikes caused 'monumental' damage, although US officials have said they are still assessing the situation. 'The biggest damage took place far below ground level. Bullseye!!!' he wrote. Over the weekend, the US attacked Fordo, Isfahan and Natanz which are linked to Iran's nuclear programme. The Tehran regime has insisted its nuclear programme is peaceful, but its uranium enrichment process has gone far beyond what is required for power stations. Israeli military officials confirmed late on Sunday they had struck infrastructure sites in Tehran and in the west of Iran. Explosions could be heard in the city of Bushehr on Sunday, home to Iran's only nuclear power plant. Israel confirmed it had struck missile launchers in the city, as well as a command centre where missiles were being stored. Iranian media reported defence systems were firing in Tehran in the early hours of Monday morning, but Iran is yet to comment on the latest strikes. On Sunday night, Downing Street said Sir Keir and Mr Trump agreed Tehran must not be allowed to develop a nuclear weapon and called for Iran to return to negotiations. 'The leaders discussed the situation in the Middle East and reiterated the grave risk posed by Iran's nuclear programme to international security,' Downing Street said. 'They discussed the actions taken by the United States last night to reduce the threat and agreed that Iran must never be allowed to develop a nuclear weapon. 'They discussed the need for Iran to return to the negotiating table as soon as possible and to make progress on a lasting settlement. 'They agreed to stay in close contact in the coming days.' Other countries endorsed the US strikes, with Australian foreign minister Penny Wong giving the White House her full backing on Monday. 'We support action to prevent Iran getting a nuclear weapon and that is what this is,' she said. In the hours after Mr Trump's phone call with Sir Keir, he again posted on Truth Social, saying: 'It's not politically correct to use the term, 'Regime Change,' but if the current Iranian Regime is unable to MAKE IRAN GREAT AGAIN, why wouldn't there be a Regime change??? MIGA!!!' The social media post marked a reversal from previous statements on regime change, including an earlier press conference from defence secretary Pete Hegseth, about the bombing on the three nuclear sites. Iran is yet to confirm how much damage was done in the US-led attack.
