A major fire has broken out at the oil trading hub of Fujairah in the United Arab Emirates (UAE), ignited by debris from an intercepted drone, amid widespread disruptions affecting energy facilities across the Middle East.
The Fujairah Media Office reported that civil defence units are working to control the blaze, reported Bloomberg.
This incident is part of a series of Iranian drone and missile strikes across the mid-eastern Gulf, initiated in retaliation for joint US-Israeli attacks that resulted in the death of Iran’s Supreme Leader Ayatollah Ali Khamenei.
This escalation has coincided with a rise in oil and European natural gas prices amid increasing tensions in the Middle East.
Fujairah, located outside the Strait of Hormuz, serves as a strategic bunkering port and is one of the largest oil storage centres in the region. It connects Abu Dhabi’s oilfields via pipeline, offering an alternative export route for the UAE.
However, its capacity is insufficient to replace all oil flows through the Persian Gulf and the Strait of Hormuz.
UAE authorities confirmed that the fire was under control and urged reliance on official sources for information, reported the Hindustan Times.
Following joint US-Israeli military actions against Iran, the Strait of Hormuz, a crucial route for global energy supplies, has witnessed decreased shipping activity.
Saudi Arabia's largest refinery, Ras Tanura, and Qatar's major liquefied natural gas export facility, QatarLNG, have also halted operations due to drone strikes.
The ongoing US-Iran conflict has caused significant disruptions to fuel shipments in the region, impacting prices at Fujairah and potentially redirecting demand to ports like Singapore, reported Reuters.
The Strait of Hormuz, which facilitates around 20% of global oil transportation, has seen traffic nearly grind to a halt as some vessels were hit during recent hostilities.
Despite bunkering continuing at Fujairah, many sales have stalled due to concerns over prolonged supply issues.
Recent Iranian drone attacks have targeted infrastructure across Gulf states such as Saudi Arabia, the UAE and Qatar, significantly impacting European energy prices.
Fujairah’s key storage operators, VTTI and Vopak, temporarily suspended operations following the fire.
Alongside the blaze at Fujairah, Oman’s Duqm port also suffered damage in a drone strike.
