Russian Oil Prices Surge Past $120 Per Barrel Amid Middle East Tensions

China's demand for Russian oil has driven prices for Russia's ESPO blend of crude oil to over $120 per barrel, according to Reuters.

The surge in prices comes as Iran and its proxies continue to retaliate against US strikes and economic warfare, while Saudi Arabia shut down a critical oil pipeline after it was targeted by militants in Iraq.

This is not the first time that tensions in the Middle East have driven up the price of Russian crude; in March and April 2026, prices for Russia's flagship Urals blend surged above $110 per barrel as global buyers scrambled for alternative supplies after the initial closure of the Strait of Hormuz.

With Saudi infrastructure damaged and global inventories depleted, physical crude premiums have once again surged to record levels of $20 to $30 per barrel over benchmark ICE Brent.