"Iraq's Ministry of Oil has announced a reduction in national crude oil production following Iran's 'closure' of the Strait of Hormuz amid the ongoing conflict in the Middle East. Drone footage from Friday shows the Al Fao oil storage depot and its facilities in the Basra governorate. In a statement on Tuesday, the ministry said the cut in production after exports were reduced and partially halted due to the closure of the Strait of Hormuz. "The sustainability of refineries and the ongoing production of various derivatives and liquid gas will remain unaffected by cutting crude oil production and the cessation of exports owing to the Strait of Hormuz closure," the ministry asserted. Oil and gas prices are surging after the US and Israel launched military operations against Iran and Tehran's retaliatory attacks on Israel and US assets in the Gulf. With the Strait of Hormuz - a key route for roughly 20% of global oil - effectively closed, and QatarEnergy halting LNG production, markets are bracing for tight energy supplies and higher prices. Tensions escalated in the Middle East after the United States and Israel launched joint military operations against Iran on February 28, with President Donald Trump vowing to "raze their missile industry to the ground". Tehran said it was responding with strikes on Israel and US assets in the region, with explosions reported in countries right across the Gulf region. Supreme Leader Ayatollah Ali Khamenei was confirmed dead in a strike on Saturday. The escalations follow three recent rounds of nuclear talks between Iranian and American officials, one held in Muscat and two in Geneva."