Wednesday 04 / March / 2026
Muscat: The official price of Oman crude for May delivery (2026) jumped by $3.84 to settle at $85.93 per barrel on Wednesday compared to Tuesday’s price which stood at $82.09, as the war in the Middle East entered its fifth day, with Gulf energy infrastructure coming under direct attack.
The monthly average price of Omani crude for March delivery (2026) stood at $62.17 per barrel, reflecting a marginal gain of 8 cents compared to the February delivery price, according to ONA.
Meanwhile, Brent crude futures rose $2.67, or 3.3%, to $84.07 a barrel, after reaching their highest level since January 2025 in the previous session.
US West Texas Intermediate (WTI) crude climbed $2.24, or 3%, to $76.80 a barrel, after settling at its highest level since June 2025. Both benchmarks have gained about 5% or more over the past two sessions amid mounting geopolitical risks and fears of supply disruptions from the region.
Shipping remained at a virtual standstill through the critical Strait of Hormuz, which typically carries around 20% of the world’s global oil supply, S&P Global said in its latest report. “The Strait of Hormuz faces unprecedented disruption as military action threatens the world’s most critical oil transit route. Some 15 million b/d of crude and 5 million b/d of oil products passed through the Strait in 2025,” according to data from S&P Global Commodities at Sea.
Crude exports from southern Iraq appear to have dried up after production cuts at the 1.2 million b/d Rumeila field.
No crude was loaded from Iraq’s 3.5 million b/d capacity Basrah port on March 2, according to port loading data, taking yet more medium and heavy sour crude off the market.
JPMorgan analysts warned oil producers may begin “shut-ins” if the chokepoint remains disrupted for 21 days. “In the interim, the US can mitigate transport risks through naval protection and insurance or guarantees for commercial shipping, and the Trump administration is expected to unveil a plan on Tuesday to address rising oil prices,” they said.
QatarEnergy halted production of downstream products including urea, polymers, methanol and aluminum one day after it halted LNG production.
Meanwhile, India’s energy ministry said it has “ensured both availability and affordability of energy for its population by diversifying its sources,” meaning it is not reliant on oil and gas through the Strait of Hormuz.
Gold rises over 1%
On Wednesday, gold prices rose more than 1% rebounding from their lowest level in over a week recorded in the previous session, as escalating US and Israeli airstrikes on Iran boosted demand for safe-haven assets.
In Muscat, gold rate on Wednesday reached OMR61.10 for 22 carat gold and OMR65.45 for 24 carat gold according to Malabar Gold and Diamonds.
Meanwhile, spot gold climbed 1.6% to $5,168.69 per ounce. US gold futures for April delivery also rose 1.1% to $5,178.40 per ounce. Gold had fallen more than 4% on Tuesday, hitting its lowest level since February 20, pressured by a stronger US dollar and fading expectations of interest rate cuts amid rising concerns about inflation linked to the ongoing conflict in the Middle East.
Among other precious metals, spot silver rose 3.5% to $84.92 per ounce after dropping more than 8% in the previous session. Platinum gained 2.7% in spot trading to $2,139.56 per ounce, while palladium climbed 1.6% to $1,673.87 per ounce.
