US-Israel Talks on Striking Iran’s Oil Facilities

President Joe Biden confirmed discussions with Israel about possible strikes on Iran’s oil infrastructure, though his remarks left the US stance unclear. When asked if he would support such actions, Biden vaguely responded, “We’re discussing that,” without offering full details.

Rising Oil Prices and Regional Tensions

The global oil market reacted sharply to Biden’s comments, with Brent crude prices jumping by 5%, continuing an upward trend following Iran’s missile barrage against Israel earlier in the week.

Israel’s Threat of Retaliation

Israeli Prime Minister Benjamin Netanyahu warned that Iran would “pay a heavy price” for launching 180 missiles at Israel. This attack, which targeted Israel’s Nevatim airbase, was Iran’s retaliation for the recent assassinations of senior leaders from Hamas, Hezbollah, and the Iranian Revolutionary Guard.

US Position and Israeli Plans

While Biden reiterated the US does not back strikes on Iran’s nuclear sites, Israel is reportedly considering hitting Iran’s oil facilities first. If Iran retaliates, Israel may then target its nuclear infrastructure. Biden emphasized that Israel has the right to respond but urged proportionality.

Potential Escalation Risks

Any escalation between Israel and Iran risks disrupting global oil supplies, especially if it impacts the Straits of Hormuz, a critical chokepoint for oil and gas shipments.