Saudi Arabia has halted operations at several energy facilities in the south following new Houthi attacks that sparked fires, raising concerns about oil supplies as Brent crude prices near $100 per barrel. The Houthis claimed responsibility for targeting Saudi Aramco facilities in Abha, Najran, and Jazan with missiles and drones. While the Saudi energy ministry acknowledged the fires without specifying the facilities, there are growing concerns about repeated attacks on the Jazan refinery, which has a capacity of 400,000 barrels per day.
The situation is compounded by continued tensions in the region, particularly between Iran and the U.S., with Iran restructuring its military for a more offensive approach. Analysts from Goldman Sachs have adjusted oil price forecasts upwards, anticipating that shipping disruptions may persist, reflecting the growing risks to oil supply from the ongoing conflict.
These recent developments further threaten an oil market that is already dealing with challenges, including restricted shipments through the Strait of Hormuz and increased threats to energy infrastructure.
