U.S. President Donald Trump on Wednesday warned that if Iran continued targeting Qatar’s energy facilities, America would “massively blow up the entirety of the South Pars Gas Field.”

Tehran has attacked a key energy facility in Qatar after Israel bombed the South Pars Gas in Iran, signaling a sharp escalation in the conflict and sending energy prices soaring.

Qatar said Wednesday that Iranian missiles caused “extensive damage” at Ras Laffan Industrial City, home to the largest liquefied natural gas, or LNG, export facility in the world.

Trump also denied any prior knowledge of Israel attacking South Pars, pushing back against reports that the strike was coordinated with and approved by his administration.

In a social media post Wednesday night stateside, Trump said that “the United States knew nothing about this particular attack, and the country of Qatar was in no way, shape, or form, involved with it, nor did it have any idea that it was going to happen.”

Trump also urged Israel to end attacks on the South Pars gas field, unless Iran “unwisely” decides to attack Qatar. In that case, the U.S. will “massively blow up the entirety of the South Pars Gas Field at an amount of strength and power that Iran has never seen or witnessed before.”

The attack on South Pars — the world’s largest natural gas reserve, shared between Iran and Qatar — marked the first time Israel has targeted Iranian natural gas production infrastructure since the conflict began on Feb. 28.

Iran has fired ballistic missiles at Qatar’s Ras Laffan Industrial City, with ​QatarEnergy saying the attack had caused “extensive damage” warranting deployment of emergency response teams to contain fires at the site. No casualties were reported.

Separately, Reuters reported Thursday that the U.S. government was considering deploying thousands of U.S. forces to the Middle East, raising the prospect of further escalation.

As tensions spiral, world leaders are scrambling to contain the Middle East conflict amid fears of deepening the turmoil in global energy markets.

German Foreign Minister Johann Wadephul on Wednesday warned of a “crisis of the gravest order” if global supply chains continued to be disrupted, calling for a path toward de-escalation and a cessation of hostilities once U.S. and Israeli military objectives are achieved, according to local media reports.

The United Arab Emirates called the targeting of energy facilities linked to the South Pars field in Iran a “serious escalation,” posing “a direct threat to global energy security” with severe environmental repercussions.

The UAE Ministry of Foreign Affairs also called Iran’s targeting of its Habshan gas facility and Bab field a “terrorist attack,” risking a “dangerous escalation.”

Qatar’s foreign ministry spokesperson Majed al-Ansari described the Israeli strike on South Pars as “a dangerous and irresponsible step” amid escalating regional tensions.

The Gulf nation has declared Iranian military and security attachés and their staff at the Iranian embassy in Doha “persona non grata,” ordering them to leave the country within 24 hours.

Saudi Arabia’s Foreign Minister Prince Faisal bin Farhan Al Saud also appeared to toughen the tone, reportedly saying that “what little trust there was before with Iran has completely been shattered.” Both political and non-political responses to Iran remain on the table, he added.

Iran’s Islamic Revolutionary Guard Corps on Wednesday threatened to escalate hostilities by targeting oil and gas facilities in Saudi Arabia, the UAE, and Qatar.

In a post on X, Iran’s President Masoud Pezeshkian condemned the strikes on Iran’s energy infrastructure, saying that they “could have uncontrollable consequences, the scope of which could engulf the entire world.”

The attacks on Middle East energy production facilities have further deepened supply disruption triggered by the conflict. Brent crude May futures rose 4% to $111.77 a barrel as of 10:25 p.m. ET , while U.S. West Texas Intermediate futures for April climbed over 1.3% to $97.56 per barrel.

Oil tanker traffic through the Strait of Hormuz — a vital chokepoint for one-fifth of global oil supply and a significant share of LNG exports — has plunged since the war began, with the waterway effectively closed to most commercial shipping.

Hello, this is Leonie Kidd writing to you from London. Welcome to another edition of CNBC’s Daily Open.

U.S. President Donald Trump continues to dominate the news cycle, and his latest round with reporters in the Oval Office has yielded more headlines and market moves this morning. It’s only Tuesday and already it’s been a volatile week for oil, which remains the epicenter of trading action.

Market participants — as well as us journalists — will need to stay on their toes to keep up with developments.

Oil prices jumped over 2% on Tuesday as uncertainty lingered over a U.S.-led coalition to protect shipping through the Strait of Hormuz. President Donald Trump suggested Monday that the coalition was not fully in place as he urged other countries to get involved.

Energy analysts and traders said Monday that they wouldn’t be surprised if oil prices climb to as high as $200 per barrel as the sprawling Middle East crisis drags on.

Analysts warned on Monday that there was no precedent for the surging price of oil, as the Middle East crisis deepens fears of prolonged production shut-ins and disruption to shipments through the strategically vital Strait of Hormuz.

Oil prices were on track for their biggest-ever jump in a single day on Monday, before significantly paring gains, following a fresh wave of U.S. and Israeli strikes across Iran over the weekend. Oil depots were among the targets.

International benchmark Brent crude futures with May delivery traded 12.8% higher at $104.53 per barrel on Monday morning, while U.S. West Texas Intermediate futures with April delivery were last seen nearly 12% higher at $101.76.

Brent futures had climbed as high as $119.5 per barrel earlier in the trading day, while WTI hit a session high of $119.48.

Neil Atkinson, former head of oil at the International Energy Agency, said the effective closure of the Strait of Hormuz is something energy markets had never seen before. Unless something changes very soon “we are in a potentially game-changing and unprecedented energy crisis,” he told CNBC on Monday.

Countries across the oil-rich Middle East region have started to scale back crude output. Iraq and Kuwait have already begun to shut-in production, with analysts warning that the United Arab Emirates and Saudi Arabia may also be vulnerable if the Strait of Hormuz remains closed for a sustained period.

“Though there are oil stocks around the world, the point is that if this closure of the Strait persists, those oil stocks if they are deployed will be depleted and we are going to be in a situation where, with the oil production actually shut in, in Iraq and possibly in Kuwait and maybe even in time in Saudi Arabia, that we are going to be in a crisis the likes of which we have never seen before,” Atkinson told CNBC’s “Squawk Box Europe.”

Asked what this could mean for oil prices, Atkinson replied: “Sorry, we are getting into the realms of educated guesswork here. I mean, there is no precedent for this. The sky is the limit.”

Typically, about 20% of the world’s oil and gas passes through the Strait of Hormuz, but shipping traffic has all but halted through this key maritime corridor since the war started.

Oil prices came off their session highs on Monday shortly after the Financial Times reported that finance ministers from G7 economies would hold an emergency meeting on Monday to discuss a possible joint release of petroleum from reserves coordinated by the IEA.

The U.K.’s Treasury and French government confirmed to CNBC that the call would take place on Monday.

Tyler Goodspeed, chief economist at ExxonMobil, told CNBC’s “Squawk Box Europe” on Monday that it had been “consensus last week, and to a certain extent still today,” that everyone but Russia had “an interest in normal traffic resuming through the Strait of Hormuz.”

He added the consensus had been that there was “abundant oil on the water and some strategic reserves to cover any short-term gap.” Goodspeed said he was skeptical of this view as the conflict enters its second week.

“When I think of the probability distribution of possible outcomes here, it seems to me there are many more scenarios, and more probable scenarios, in which the strait remains effectively closed harder for longer than there are scenarios in which normal traffic resumes,” Goodspeed said.

Analysts at Societe Generale, meanwhile, warned that prolonged production shut-ins from Middle East countries “materially increase” the risk of restart complications.

“The UAE is likely the next producer at risk of shutting in output, potentially within the next five to seven days,” the analysts said in a research note published Monday.

“Qatar is also vulnerable, though its oil volumes are modest relative to its LNG exposure. Saudi Arabia faces less immediate risk but shut ins would become plausible if the Strait of Hormuz remains closed for a further two to three weeks,” they added.

— CNBC’s Holly Ellyatt contributed to this report.

Oil prices have soared after U.S. and Israeli strikes on Iran continued on Sunday night.

Brent crude prices hit a new 52-week high on Monday, surging 9.3% to reach $79.40, while U.S. West Texas Intermediate prices also rose more than 9% to $73.10.

U.S. President Donald Trump said the “overwhelming military offensive” — which he has dubbed Operation Epic Fury — would continue until the U.S.’s objectives are achieved. Israel launched fresh strikes against both Iran and against Hezbollah targets in Lebanon late on Sunday, which came after Iran attacked military and infrastructure targets across several countries in the region.

As the U.S. continues to target Iranian air defense systems and naval capabilities, global oil supplies have come into sharp focus.

Amrita Sen, founder and director of research at Energy Aspects, told CNBC on Monday that she expects oil prices to likely hold at around $80 level for some time.

Sen said that it is unlikely that the Strait of Hormuz — through which 13-15 million barrels, or 20% of global supply, of oil flows — would be closed altogether. She added that the bigger risk stems from one-off attacks on vessels passing through the area.

Sen said that the U.S. and Israel have the superior military power to ultimately neutralize Iran’s ability to completely shut off the Strait, a key shipping channel for oil producers such as Saudi Arabia, the UAE, Iraq, Iran, and Kuwait.

But single attacks on ships are more difficult to prevent. “This is something we’ve warned right throughout to our clients,” she said.

After three tankers were hit over the weekend, shippers are now being extremely cautious about going in, she added.

“That is the biggest issue right now — how do Asian refiners actually get the volumes from the Middle East?” Sen added.

She noted that Oman and certain UAE grids can bypass the Strait, while Saudi Arabia has contingency plans to move its oil through the East-West pipeline via the Red Sea.

“But even if you are able to move 5 million out through other methods, about 10 is still stuck,” she added.

Sen added that, if energy infrastructure is hit, the price of oil could hit $100.

She added that “the stakes are just too high” when it comes to potential attacks on infrastructure.