Several analysts now fear a new conflict will surface in West Asia and lead to uncertainty

Informist New Delhi

The government is reviewing the evolving global situation on a daily basis amidst ongoing geopolitical conflicts, including the most recent tensions between Israel and Iran, Minister of Petroleum and Natural Gas Hardeep Singh Puri said Monday. Abating fears of oil shortage, Puri said that India has enough crude oil stocks. "Our own production is also increasing," he said, while speaking at an event marking 11 years of the NDA government. 

Israel struck Iranian nuclear bases early Friday as part of "Operation Rising Lion" to stop it from developing nuclear weapons. Israel has since declared an emergency in anticipation of retaliation by Iran.  

Following Friday's attack, crude oil prices surged over 13% to $78.50 per barrel, the highest level since Jan. 27, due to worries about a potential disruption in supply of crude oil as the conflict intensified. Iran holds over 9% of the world's crude oil reserves and currently produces over 3% of the world's crude oil output.  

Several analysts now fear a new conflict will surface in West Asia and lead to uncertainty at a time when the war between Russia and Ukraine appears to be cooling off and the dispute on US tariffs seems to be getting resolved. At 1255 IST, the August contract of the Brent crude oil traded at $74.87 per barrel.