Brent crude nears 100 dollars after strikes halt operations at Saudi Arabia's Jizan refinery
Brent crude oil prices reached 99.22 dollars a barrel after strikes by Houthi forces on energy facilities in southern Saudi Arabia. Operations at several sites, including Saudi Aramco's 400,000-barrel-a-day Jizan refinery near the Yemeni border, were suspended. Saudi authorities reported more than 70 injuries and described the strikes as a dangerous escalation. The incident marks the third attack in two months.
Economics & Markets··Evening
Strikes suspend energy operations in southern Saudi Arabia
Houthi forces launched strikes against multiple energy facilities in southern Saudi Arabia, and authorities suspended operations at several sites. Saudi officials described the attacks as a dangerous escalation and reported that more than 70 people were injured. Damage assessments remained under way after the strikes. The incident is the latest in a series of attacks on Saudi assets from July, when Houthi forces announced a blockade in the Red Sea. The strikes coincide with reduced shipping traffic through the Strait of Hormuz, which normally handles about 20 per cent of global daily oil and liquefied natural gas cargoes, as vessels avoid the area on security grounds.[1], [2]
Jizan refinery struck for the third time in two months
The attacks targeted the Jizan refinery, a 400,000-barrel-a-day facility located near the Yemeni border. This marks the third time the refinery has been hit in two months, after earlier strikes in July and August. Aramco chief executive Amin Nasser noted that previous attacks were followed by temporary interruptions without materially affecting the company's operational or financial standing. Oil shipments from the Jizan site have dropped significantly, and no exports were recorded during August. No specific group's responsibility had been independently confirmed for the Monday strike, though it followed the resumption of hostilities between Saudi Arabia and Houthi forces.[1], [2]
Brent crude prices rise past 99 dollars a barrel
Global energy markets responded to the supply disruption warnings, and Brent crude rose 2.06 per cent to reach 99.22 dollars a barrel by 08:00 GMT. This marked the highest level for Brent from 24 July. West Texas Intermediate crude also recorded gains, rising 3.2 per cent to 94.60 dollars a barrel, its strongest position from 8 June. Aramco had not issued a formal operational statement regarding the extent of the most recent facility closures at the time the price increases were recorded.[1]
