Iran-Israel war: Crude oil price hits $110 per barrel after drone attacks on Iran's largest gas plants

Crude oil prices are back in action as the Iranian media reports that Iran's largest gas plant. The US and Israeli drones targeted the gas treatment facilities in southern Iran according to the Iranian state media. This second time since the war broke out on 28 February, the gas treatment facilities were attacked by the US and Israel.

The gas treatment facilities in Assaluyeh that process sour gas from the South Pars gas field came under attack. The gas facilities have been taken offline to control and prevent the spread of fire.

Following the news of attacks, the Brent crude oil prices jumped over 5% to trade near $110 per barrel. The WTI crude oil prices also jumped over 2% to trade near $98 per barrel. The attack near the south Pars gas field holds great significance as it is the world's largest gas field which Iran and Qatar share together. The crude oil prices are up over 50% since the war broke out on February 28 after the killing of Iran’s supreme leader Ayatollah Khamenei.

The gas treatment facilities in Assaluyeh were previously targeted in the 12-day war with Israel in 2025. The facilities account for 70-75% of Iran's total gas production.

Iranian media also reported that Iran is now planning to attack energy facilities in Saudi, Qatar, UAE. This is followed by the elimination of Iran’s military intelligence minister Ismail Khatib. This came after Iran’s security chief Ali Larijani was killed in overnight strikes by Israel the previous day.