Oil rises towards $107 as Gulf attacks raise fuel cost concerns in Cyprus

Limassol, Cyprus. Oil moved towards $107 per barrel on Wednesday after fresh attacks on tankers in the Strait of Hormuz and energy infrastructure in Saudi Arabia threatened the recovery of Gulf exports. The rise added to concerns about further fuel price increases in Cyprus.

Fuel costs weigh on Cyprus

Motorists and businesses in Cyprus remain under pressure from fuel costs. The most recent figures published by the Consumer Protection Service showed average prices of €1.757 a litre for unleaded 95 petrol, €2.022 for diesel and €1.678 for heating oil.

At Limassol’s highest-priced petrol station, diesel cost as much as €2.126 a litre.

The financial burden has grown over several months. An earlier estimate by the Cyprus consumers association put the additional cost of rising fuel prices to households and businesses at €23 million between March and August.

Crude benchmarks rise

Reuters reported that Brent, the international crude benchmark, reached $106.03 per barrel during early trading, reversing Tuesday’s decline of 0.9 per cent. US West Texas Intermediate (WTI) rose to $94.42.

Since the start of 2026, Brent has risen by over 70 per cent amid continuing disruption to energy supplies and shipping caused by the conflict between the United States and Iran.

Attacks threaten export recovery

The price increase came after Iran renewed attacks on commercial shipping transiting the Strait of Hormuz. Yemen’s Houthi movement, which is aligned with Iran, also struck targets in Saudi Arabia, including a facility owned by Saudi Aramco, the state oil company.

Despite recent gains in production and exports, the attacks have cast fresh doubt on the recovery of Persian Gulf oil shipments. They have also complicated attempts to rebuild confidence in a route that is among the world’s most important for oil transport.

The United Kingdom Maritime Trade Operations (UKMTO) reported that unidentified projectiles hit an oil tanker and a container ship on Tuesday during their passage through the Strait of Hormuz.