Deal-making in the oil and gas sector in the United States has virtually come to a halt due to market uncertainties caused by a sharp increase in energy prices stemming from military actions in the Middle East. This is reported in one of the analytical materials.

According to sources, all ongoing negotiations in this area have either slowed down or been postponed until the market situation stabilizes and commodity prices return to normal.

“Everything has just stopped. I have movement on two deals, which are long-term contracts. But right now, everything is in a paralyzed state because no one can determine the price of anything,”

noted a partner at a law firm specializing in energy issues.

Another senior banker in London working in this field also confirmed that

“I currently have three or four sales processes underway, and we have put them all on hold. There’s no point in accepting offers, as they will vary too widely”

. He added that the upcoming annual energy conference CERAWeek, which will be held from March 23 to 27 in Houston, will be “very unusual”.

Experts from one of the largest American banks forecast that oil prices may remain elevated until 2027. They warned that the price of Brent crude could exceed the historical high set in 2008 at around $147 per barrel if supply disruptions continue.

It is worth noting that on February 28, the US and Israel began military actions against Iran. In response, the Islamic Revolutionary Guard Corps (IRGC) announced a large-scale retaliatory operation and attacked Israeli facilities. Strikes also affected US assets in countries such as Bahrain, Jordan, Qatar, Kuwait, the UAE, and Saudi Arabia.

On March 11, a representative of the “Khatam al-Anbia,” the central headquarters of the Iranian armed forces, stated that Iran would not allow any oil shipments related to the US and its allies to pass through the Strait of Hormuz. On March 15, he added that Tehran would employ any means necessary, including controlling vessel movements in this strategic strait, to force the adversary to surrender.