Oil prices rose to their highest levels in several weeks on Tuesday 8 September following attacks on Saudi energy facilities by Yemen’s Houthi movement and escalating tensions between Iran and the US.
By 08:00 GMT, Brent crude futures had increased by $2, or 2.06%, reaching $99 per barrel (bbl), reported Reuters.
Meanwhile, US West Texas Intermediate (WTI) crude traded at $94.41/bbl, up $2.93, or 3.2%.
Earlier in the session, Brent touched $99.22/bbl, its strongest mark since 24 July, while WTI reached $94.60/bbl, a peak last seen on 8 June.
Saudi authorities reported that operations at some energy sites were halted after attacks on Tuesday, which they described as a "dangerous escalation".
The assaults, attributed to Yemen’s Iran-aligned Houthis, wounded more than 70 people and targeted facilities in the south of Saudi Arabia, close to the Yemeni border.
Jizan, home to a 400,000 barrel per day (bpd) refinery and other energy installations, was among the locations affected, as reported by the Financial Times.
Damage was being assessed, according to individuals familiar with the incident.
Aramco has not yet issued a statement in response to the latest attacks.
The Houthi movement, which claims control of much of Yemen’s north, has conducted multiple missile and drone strikes against Saudi assets since announcing a blockade of Red Sea ports in July, reported Reuters.
The recent actions are part of an ongoing pattern of attacks that have disrupted refinery operations and maritime traffic through key routes.
The attack followed warnings from Iran about the vulnerability of energy infrastructure in the Gulf, including US oil and gas assets, after exchanges of fire and strikes involving the US and Iran over the weekend.
Iran threatened "economic warfare" against the US and stated it had targeted US warships with missiles.
Meanwhile, US Central Command reported that US forces struck three Iranian oil tankers, with one of the vessels located near Kharg Island, Iran’s primary oil export centre. These actions came after Iran’s Islamic Revolutionary Guard Corps carried out attacks on US naval ships in the region.
Shipping through the Red Sea and the Strait of Hormuz, a critical passage for global energy trade, has slowed amid the heightened tensions, raising further concerns about potential disruptions to oil and gas supplies.
The Strait of Hormuz handles roughly 20% of global daily oil and liquefied natural gas shipments.
