US oil companies are expected to receive a windfall of more than $60bn this year if crude prices remain high in response to the US-Israeli war on Iran, the Financial Times (FT) reported on 15 March.

FT cited modelling by investment bank Jefferies showing US producers will generate an extra $5 billion in cash flow just in March, as oil prices have risen 47 percent since US President Trump and Israeli Prime Minister Benjamin Netanyahu ordered the bombing of Tehran to begin on 28 February.

If oil prices remain around $100 for the rest of this year, US producers will receive an additional $63.4 billion from oil sales, according to energy research company Rystad.

In response to the Israeli-US attack, Iran has effectively closed the Strait of Hormuz, causing oil prices to surge.

Before the war began, West Texas Intermediate, the US benchmark, was trading near $67 per barrel. On Friday, prices settled at $98.71 a barrel.

Tehran has prevented tankers from Gulf energy producers from passing through the strategic waterway through which one-fifth of the world’s oil exports typically flow.

Oil prices are expected to rise further when markets open on Monday as the US struck military targets on Kharg Island, a key distribution point for Iranian oil, on Saturday. In response, Iranian drones attacked a key oil terminal in the UAE.

“This marks an escalation ⁠in the conflict,” JP Morgan analysts led by Natasha Kaneva said.

RBC Capital Markets on Friday said it expected Brent crude prices to exceed $128 a barrel within three to four weeks.

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