The recent US and Israeli military strike on Iran, which resulted in the death of Supreme Leader Ayatollah Ali Khamenei, has triggered significant volatility in global financial markets. The primary driver is heightened uncertainty, which is influencing share price movements across various sectors.

Impact on Independent Oil & Gas Operators

Independent energy companies with operations in the affected regions have seen their share prices decline. Several operators, including Energean, DNO, Dana Gas, and Gulf Keystone Petroleum, suspended production in Iraqi Kurdistan and offshore Israel following the attacks. Consequently, Energean's share price initially fell 2.58%, and Gulf Keystone Petroleum's plunged 6.1%. DNO's price was unaffected, while Dana Gas could not be traded as the Abu Dhabi stock exchange was closed for two days in response to the events.

Surge in Oil Prices and Beneficiaries

The geopolitical crisis led to a sharp increase in crude oil prices, with the Brent benchmark rising above $82 per barrel. This surge was driven by the effective closure of the Strait of Hormuz—a critical chokepoint for Middle Eastern oil and LNG exports—and the broader regional escalation. Higher oil prices have bolstered the share prices of major energy companies operating outside the immediate conflict zone, underscoring the value of domestic energy security.

Performance of Major Energy Companies

European supermajors experienced significant share price gains: BP rose 2.15%, Shell increased 2.54%, and TotalEnergies jumped 6.94%. US supermajors are anticipated to see similar gains when their markets open. Furthermore, Saudi Aramco's shares increased by 1.3%, and PetroChina, the listed arm of China National Petroleum Corporation, surged by 10.4%.