Oil prices rise after Houthis claim attacks on Saudi energy facilities

Oil prices rose sharply after Yemen's Houthi rebels said they had carried out missile and drone attacks on targets in Saudi Arabia, including facilities linked to the state-run energy company Aramco. The claims added to already elevated concern about supply security in the Middle East, a region central to global crude flows. Brent crude, the international benchmark, climbed more than 3% and briefly moved above $108 a barrel before easing slightly.

Sponsored

The Houthis said on Thursday that they had struck a "sensitive target" in Riyadh and Aramco facilities in the Red Sea city of Yanbu. In a statement carried by the Houthi-run Yemen News Agency, the group said both operations had "achieved their objectives successfully." Saudi-led coalition forces said earlier that they intercepted six ballistic missiles fired towards the kingdom. Saudi authorities had not confirmed any damage or casualties, and Aramco did not respond to inquiries outside regular business hours.

The market reaction was immediate. Brent futures for November ended Thursday above $106.50 a barrel, after earlier exceeding $108, and stood at $105.77 a barrel in early Friday trading in Asia. The move reflected fears of further disruption to energy supplies at a time when the market is already sensitive to geopolitical risk.

Aramco supplies roughly 10% of global oil demand, making any threat to its infrastructure closely watched by traders and governments alike. The latest escalation matters because Saudi Arabia remains one of the most important producers in the global energy system, and its facilities have repeatedly been drawn into regional conflict. Attacks or even claims of attacks on oil infrastructure can move prices quickly, even when the extent of damage is unclear.

Sponsored

That sensitivity has been heightened by wider tensions in the Middle East and by concerns over the security of shipping routes and production sites. The flare-up also comes against a broader backdrop of diplomatic efforts involving the United States and Iran, which have been trying to find a resolution to their seven-month conflict on the sidelines of the UN General Assembly in New York. Iranian President Masoud Pezeshkian said on Thursday that he hoped Washington would return to their Memorandum of Understanding on ending the war, which lapsed in mid-August without a peace deal.

Analysts said the combination of military risk and uncertain diplomacy was helping keep oil prices elevated. What remains unclear is whether the claimed strikes caused any damage or disruption at the Saudi sites, and whether there were any casualties. Saudi authorities have not provided a detailed assessment, and Aramco has not commented publicly on the claims.

Traders will be watching for any official confirmation, further Houthi statements, and signs of whether the price spike proves temporary or reflects a longer period of supply anxiety.

#SaudiArabia #Houthis #Aramco #oilprices #Brentcrude