Brent Tops $100, WTI Soars Past $92 as Red Sea Attacks Escalate

Brent crude oil prices surged past $100 per barrel on Thursday for the first time in nearly two months, leading a sharp rally across global benchmarks as attacks on commercial shipping in the Red Sea escalated supply fears. The rally delivers a significant boost to Bakken crude prices, with West Texas Intermediate (WTI) gaining over six percent.

As of midday Thursday, front-month Brent crude was trading at $100.34, a gain of $6.27 or 6.67%. WTI crude followed closely, trading at $92.06, up $5.23 or 6.02%. The Bakken crude differential to WTI was -$3.42 per barrel, according to live price data. Natural gas prices saw a modest increase to $2.93.

The price spike is driven by a significant escalation in Middle East supply risks, according to a report from OilPrice.com. The rally accelerated after Houthi forces claimed strikes on two Saudi oil tankers in the Bab el-Mandeb Strait and declared a naval blockade of Saudi exports. This threatens a critical alternate export route Saudi Arabia has used to bypass disruptions in the Strait of Hormuz. Several vessels have reportedly altered course or delayed transits.

The market is now contending with simultaneous threats to two of the world's most important oil shipping lanes. According to OilPrice.com, Brent has climbed roughly 20% in about two weeks as repeated attacks, renewed fighting involving Iran, and mounting export disruptions have erased expectations of a quick return to normal oil flows. The physical market is tightening as governments have drawn down strategic reserves and commercial inventories have fallen sharply.

Further compounding global supply concerns, Kazakhstan has begun cutting production after drone attacks shut down loadings at a key Black Sea terminal, and Indian refiners have suspended some Iraqi crude loadings due to shipping risks, the source reported.

For Bakken operators in North Dakota, the sharp rise in the underlying WTI benchmark directly increases the wellhead value of their production. The current differential suggests Bakken crude is pricing at approximately $88.64 per barrel. Such a price environment significantly improves cash flow and can influence drilling and completion budgets. The rally marks a reversal from recent weeks when markets had bet on easing geopolitical risk, highlighting the continued volatility and premium tied to global disruption events.