Crude oil prices dipped on Thursday as markets reacted to a major fire at Türkiye’s largest refinery, highlighting risks in an already tight global fuel market.

The fire broke out at the Tupras Izmit refinery, one of Turkey’s most important fuel hubs, reportedly affecting a gasoline storage area. Workers were evacuated, and emergency crews responded quickly. Authorities have not yet confirmed the cause of the fire or the extent of the damage, and no injuries have been reported so far.

Izmit plays a critical role in processing imported crude and supplying gasoline and diesel to Turkey. Experts warn that any prolonged disruption could affect fuel supplies beyond Turkey, especially in Southern and Eastern Europe, where refiners are still adjusting to changes in Russian crude imports.

The incident comes at a challenging time for global oil markets. Refining capacity is limited, infrastructure is aging, and supply chains remain sensitive to unexpected outages. Trade patterns are also shifting due to sanctions on Russian oil, and Turkey has often acted as a middle point for regional fuel flows.

Analysts say the refinery fire underscores the ongoing vulnerability of the energy system. Even with sanctions, transition plans, and policy measures, physical disruptions at key facilities can ripple through global supply chains and affect fuel prices.

On Thursday, West Texas Intermediate crude fell to around $64 per barrel, Brent crude slipped below $70, and Murban crude also traded lower. Natural gas prices dropped slightly as well.

The Tupras Izmit fire is a reminder that despite geopolitical or market strategies, the physical realities of refining and logistics continue to shape the global energy market.