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By Brendan Cole
Senior Reporter
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Saudi Arabia has shut down its main East-West oil pipeline after it was attacked, officials said Friday, confirming earlier reports of fire and smoke along the key energy route.
The Saudi Ministry of Energy said the pipeline was shut down as a “precautionary measure.” The Saudi Foreign Ministry said several drones involved in the attack came from Iraq.
The kingdom said it would not respond to the attack to give the Iraqi government “an opportunity to take the necessary measures.” The Iraqi government condemned the assault and ordered an investigation.
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The confirmation comes after reports citing video and satellite imagery showed fire and smoke along the pipeline.
Sentinel-3 satellite imagery showed a black smoke plume over the pipeline route across the desert between Medina and Mahd adh Dhahab. NASA’s FIRMS system also showed clustered thermal anomalies in the area.
NASA’s FIRMS system gives satellite detections of active fires but does not identify what is burning or what caused a blaze.
Newsweek has contacted the Saudi government for further comment.
The pipeline carries Saudi crude from Abqaiq to Yanbu on the Red Sea, which is Saudi Arabia’s only export route that does not pass through the Strait of Hormuz, access to which has been blocked because of the war in Iran.
Oil prices jumped earlier this week to their highest levels since May because of the ongoing war with Iran, with the price for a barrel of Brent crude, the international standard, at $104.44 on Friday. Despite this, energy industry expert Thomas O'Donnell told Newsweek that reports of a strike on the Saudi pipeline may not have an immediate effect.
"The effect on oil markets for right now might be emotional," he said. "There might be some volatility, a bump in the price and so forth, but it doesn't seem at this point like a fundamental change."
The shutdown disrupts the backup route Saudi Arabia has been using following restrictions on the use of Hormuz and could add further volatility to global energy markets.
Pressure has also been building on Saudi Arabia's export pathways as the Houthis make territorial gains along Yemen's Red Sea coast.
The Iranian-backed rebels captured a strategic island at the southern entrance to the Red Sea, two officials said Friday, marking their biggest territorial gains in years along the Bab el-Mandeb Strait, one of the world's key shipping lanes.
The advance could boost Iran’s strategy of driving up world oil and gas prices to pressure the United States.
The development follows the Houthis' seizure of the strategic Yemeni Red Sea port city of Mokha from Saudi-backed pro-government forces, according to military sources.
The Iran-backed group has said it would target vessels from Saudi Arabia, which has relied on the Red Sea for oil exports because of the closure of the Strait of Hormuz.
The Houthis are trying to capture territory along Yemen’s southern Red Sea coastline to threaten shipping through the Bab al-Mandeb Strait and advance Tehran’s objectives in its war against the U.S. and its allies, the Institute for the Study of War said Thursday.
The pipeline was attacked in April, but Saudi Arabia restored it to its full stated pumping capacity of about 7 million barrels per day.
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An attack on the pipeline could have more serious consequences than an isolated strike on an oil facility, with exports through Yanbu an important alternative to Gulf shipping.
Reuters reported this week that crude and condensate loadings at Yanbu had recovered to about 3.7 million barrels per day earlier this month.
"Ships from Saudi Arabia can't so easily go south and out through the al-Mandeb, because the Houthis are getting closer to there and hitting things," O'Donnell, a Berlin-based energy expert, said.
"We'll see if the Americans start making convoy escorts there as well. So if they could close the pipelines, that would shut everything down, but I think that's not a workable strategy, it'll make some interruptions, but it won't fundamentally shut it down anymore."
"I don't see a big fundamental change in the market from this, but I think there'll be more attention from the Saudis and their allies," he added.
Trump Urged To Strike Houthis: Report
As Houthi forces advanced on Mokha on Thursday, Saudi Crown Prince Mohammed bin Salman called President Donald Trump twice, urging him to launch strikes against the group, U.S. officials told Axios.
Trump declined, and his administration had no immediate plans to intervene, but it will give the kingdom intelligence on the Houthis and targeting data, according to the outlet.
Riyadh’s request marks a reversal from its stance in July when it told Washington it could handle the Houthis on its own.
But fighting has increased since the Saudi-Houthi confrontation reignited in July after Riyadh prevented an Iranian plane carrying Houthi officials home from the funeral of former Iranian Supreme Leader Ali Khamenei from landing in Sanaa.
Contact Newsweek editors on this story: Dan Orton, Tony Phillips, Gray R. Thomas, Alex Backus
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