Oil nears $110 a barrel after gas field strike

Oil prices leapt to nearly $110 a barrel after Iranian media reported an airstrike hitting a facility on the world’s largest natural gas field. The Brent crude oil benchmark hit $109.91 a barrel just after 14:30 GMT, more than 5% higher than Tuesday’s prices, remaining above $108. The benchmark UK gas price also jumped by 6% to 143.53p a therm before falling back below the 140p mark.

Several hours later, Qatar reported that there was “extensive damage” at the Ras Laffan industrial site following threats from Iran. Iran’s oil ministry said a fire at the petrochemical complex was under control. Iran’s military warned it would take “decisive action” in response to the strike on its energy infrastructure, stating they "consider targeting the fuel, energy, and gas infrastructures of the countries of origin legitimate and will retaliate strongly at the earliest opportunity." Qatar’s foreign ministry spokesman Majed Al Ansari said strikes against energy infrastructure “constitute a threat to global energy security”.

Just after 1815 GMT, the Qatari interior minister said it was responding to “a fire in the Ras Laffan area following an Iranian targeting”. Just after 1900 GMT, the interior minister said it had “initially brought the fire in Ras Laffan under control, with no injuries reported”. AJ Bell’s head of financial analysis, Danni Hewson, said the attack and retaliation by Iran had “helped dial up the temperature once again and put renewed upward pressure on oil prices”. US Press Secretary Karoline Leavitt said the 60-day waiver of the rules will allow “vital resources like oil,