Yemeni Houthi Rebels Attack Saudi Oil Facilities... Brent Crude Surpasses $70 (Comprehensive)

Surpassing $70 After 22 Months... Concerns Over Continued Surge
Houthi Rebels Demand Full Sanctions Lift from US... Negotiations Stalled

[Image source=EPA Yonhap News]

[Asia Economy Reporter Hyunwoo Lee] The Yemeni Houthi rebels announced that they attacked oil facilities in the eastern oil fields of Saudi Arabia, causing Brent crude oil from the North Sea to surpass the $70 mark for the first time since May 2019. The eastern oil fields of Saudi Arabia house the world's largest refining facilities and oil export ports, raising concerns about supply shortages and driving up international oil prices. The Houthi rebels are demanding a complete lifting of sanctions by the United States and are gradually increasing the intensity of airstrikes on Saudi Arabia, raising concerns that the upward trend in international oil prices will continue.

According to foreign media including the Associated Press on the 7th (local time), the Houthi rebels announced in a statement that they launched 14 drones and 8 ballistic missiles at major oil fields in eastern Saudi Arabia, including Ras Tanura and Dammam. According to major foreign media, two residents near Dammam reported hearing explosions around 8 p.m. that day, indicating that the airstrikes actually took place.

The Saudi military also issued a statement on the same day, announcing that "12 drones and 2 ballistic missiles launched by the Houthi rebels were intercepted, and Houthi bases around Sana'a, the capital of Yemen, were airstruck by fighter jets." Saudi state broadcaster Al Arabiya reported that although the exact locations of the airstrikes were not disclosed, "12 armed drones and 2 ballistic missiles targeting civilians and facilities were intercepted."

Following the news, international oil prices surged. On the same day, Brent crude oil on the London ICE Futures Exchange opened at $70.91, up $1.37 (1.97%) from the previous day, breaking the $70 mark for the first time since May 19, 2019. In particular, Ras Tanura, which was attacked by the Houthi rebels, is home to the world's largest refinery and offshore oil loading facilities, raising concerns that Saudi Arabia's crude oil supply could be significantly restricted, further fueling the rise in oil prices.

The Saudi Ministry of Energy stated, "Although the oil storage tanks in Ras Tanura were attacked by drones, there were no casualties or damages," attempting to downplay the situation, but this did not stop the rise in oil prices. In September 2019, when the Houthi rebels attacked Saudi Arabia's largest oil fields near Ras Tanura, including Abqaiq and Khurais, with drones and ballistic missiles, the Saudi government temporarily reduced daily crude oil production to less than half, causing international oil prices to fluctuate sharply.

According to The Washington Post (WP), since the 4th, the Houthi rebels have been demanding the U.S. State Department lift sanctions on Houthi leaders and have been increasing the intensity of attacks step by step after airstriking refining facilities in Jeddah, western Saudi Arabia, pressuring the U.S. government. WP reported that as negotiations with the U.S. are expected to stall, the Houthi rebels' airstrikes on Saudi Arabia may continue in the future.

This content was produced with the assistance of AI translation services.