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Israeli strikes on Iran's oil stoke fears of higher petrol prices

Israeli strikes on Iran's oil stoke fears of higher petrol prices

The Age9 hours ago

Israeli strikes on Iranian energy infrastructure have heightened fears the conflict will severely disrupt Iran's oil production, driving up petrol prices in Australia and threatening a spike in inflation.
Iranian state media reported on Sunday that Israel targeted one of the country's largest oil refineries, Shahr Rey, and also the separate Shahran fuel depot in the capital Tehran.
In a separate attack, an Israeli strike over the weekend triggered a powerful explosion and fire at a natural gas processing facility linked to Iran's immense South Pars field.
The attacks heighten the risk to oil infrastructure in Iran, a leading global producer and OPEC's third-largest member. US crude prices surged as much as 14 per cent on Friday, before settling near $73 a barrel when markets closed.
If sustained, the rise in oil prices so far this month threatens to drive up Australian fuel prices at the pump by 12¢ a litre, according to economists at AMP.
The targeting of energy assets is a new front in the conflict, which escalated on Friday when Israel launched a wave of airstrikes against Iran's nuclear program.
Richard Bronze, head of geopolitics at consultant Energy Aspects Ltd said Saturday's attack raised 'questions about whether Israel is going to target more Iranian energy infrastructure'.
Saul Kavonic, energy analyst at MST Marquee, said the strikes had 'only impacted domestic oil infrastructure in Iran so far, so are unlikely to impact global supply'.

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Israel, Iran trade strikes for a third day as nuclear talks called off
Israel, Iran trade strikes for a third day as nuclear talks called off

7NEWS

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  • 7NEWS

Israel, Iran trade strikes for a third day as nuclear talks called off

Israel unleashed airstrikes across Iran for a third day on Sunday and threatened even greater force as some Iranian missiles evaded Israeli air defences to strike buildings in the heart of the country. Planned talks on Iran's nuclear program, which could provide an off-ramp, were cancelled. The region braced for a protracted conflict after Israel's surprise bombardment of Iran's nuclear and military sites on Friday killed several top generals and nuclear scientists, and neither side showed any sign of backing down. Iran said Israel struck two oil refineries, raising the prospect of a broader assault on Iran's heavily sanctioned energy industry that could affect global markets. The Israeli military, in a social media post, warned Iranians to evacuate arms factories, signalling what could be a further widening of the campaign. Explosions shook Iran's capital, Tehran, at around noon (6.30pm AEST) and again around 3.30pm. Semi-official news agencies close to Iran's Revolutionary Guard reported one strike in the area of Vali-e Asr Square downtown and another in a neighbourhood named for the air force, which is headquartered there. US President Donald Trump has expressed full support for Israel's actions while warning Iran that it can only avoid further destruction by agreeing to a new nuclear deal. Iranian Foreign Minister Abbas Araghchi said Sunday that if the Israeli strikes on Iran stop, then 'our responses will also stop.' He said the United States 'is a partner in these attacks and must take responsibility.' Explosions in Tehran Iran's UN ambassador said Saturday that 78 people had been killed and more than 320 wounded. There has been no official update since then. Israel says 13 people have been killed and more than 360 wounded in Iranian attacks. Iran has fired over 270 missiles, 22 of which made impact, according to official Israeli figures. The country's main international airport and airspace remained closed for a third day. Israeli strikes targeted Iran's Defense Ministry early Sunday after hitting air defences, military bases and sites associated with its nuclear program. The killing of several top generals and nuclear scientists in targeted strikes indicated that Israeli intelligence has penetrated Iran at the highest levels. In a sign that Iran expects the Israeli strikes to continue, state television reported that metro stations and mosques would be made available as bomb shelters for the public beginning on Sunday night. Death toll mounts in Israel In Israel, at least six people, including a 10-year-old and a nine-year-old, were killed when a missile hit an apartment building in Bat Yam, near Tel Aviv. Daniel Hadad, a local police commander, said 180 people were wounded and seven are still missing. An Associated Press reporter saw streets lined with damaged and destroyed buildings, bombed out cars and shards of glass. Responders used a drone at points to look for survivors. Some people could be seen leaving the area with suitcases. Another four people, including a 13-year-old, were killed and 24 wounded when a missile struck a building in the Arab town of Tamra in northern Israel. A strike on the central city of Rehovot wounded 42. The Weizmann Institute of Science, an important center for research in Rehovot, said 'there were a number of hits to buildings on the campus.' It said no one was harmed. Israel has sophisticated multi-tiered air defences that are able to detect and intercept missiles fired at populated areas or key infrastructure, but officials acknowledge it is imperfect. Urgent calls to deescalate World leaders made urgent calls to deescalate. The attack on nuclear sites set a 'dangerous precedent,' China's foreign minister said. The region is already on edge as Israel seeks to annihilate Hamas, an Iranian ally, in the Gaza Strip, where the war is still raging after Hamas' October 7, 2023, attack. Prime Minister Benjamin Netanyahu brushed off such calls, saying Israel's strikes so far are 'nothing compared to what they will feel under the sway of our forces in the coming days.' Israel, the sole though undeclared nuclear-armed state in the Middle East, said it launched the attack to prevent Iran from developing a nuclear weapon. The two countries have been adversaries for decades. Iran has always said its nuclear program was peaceful, and the US and others have assessed it has not pursued a weapon since 2003. But it has enriched ever larger stockpiles of uranium to near weapons-grade levels in recent years and was believed to have been able to develop multiple weapons within months if it chose to do so. The UN's atomic watchdog censured Iran last week. 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Araghchi, Iran's foreign minister, said Saturday that the nuclear talks were 'unjustifiable' after Israel's strikes, which he said were the 'result of the direct support by Washington.' In a post on his Truth Social account early Sunday, Trump reiterated that the US was not involved in the attacks on Iran and warned that any retaliation directed against it would bring an American response 'at levels never seen before.' 'However, we can easily get a deal done between Iran and Israel, and end this bloody conflict!!!' he wrote.

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