Saudi Arabia shuts key oil pipeline after drone attack from Iraq
text_fields
Saudi Arabia has shut a critical oil pipeline after it was attacked by drones launched from Iraq, as the widening conflict in the Middle East puts further pressure on regional energy and shipping routes.
Iraq has dismissed a military commander and launched an investigation after acknowledging that the drone attack on Saudi Arabia’s East-West pipeline originated from one of its provinces bordering Iran.
The 1,200-km (745-mile) pipeline has enabled Saudi Arabia, the world’s largest crude oil exporter, to bypass the Strait of Hormuz, a key global oil shipping route.
Saudi Arabia said on Friday that it had shut the pipeline as a precaution after the attack caused some injuries and damage. The extent of the damage was still being assessed, according to the Saudi Foreign Ministry. Satellite images also showed scorched ground and smoke near the site.
The pipeline has been carrying an estimated 4 to 5 per cent of global oil supplies, according to Reuters, citing ship-tracking companies and analysts.
Saudi Arabia has so far chosen not to retaliate, following a call from Iraqi Prime Minister Mohammed Shia’ al-Sudani. Riyadh said it would “support the efforts of the Iraqi government” to “prevent attacks” launched from Iraq against neighbouring countries.
“The Kingdom of Saudi Arabia affirms that it reserves its right to take all necessary measures to safeguard its sovereignty and security, protect its facilities, and ensure the safety of its citizens and residents,” the Saudi Foreign Ministry said.
In a separate statement, the office of the Iraqi Prime Minister said the operations commander in Maysan governorate had been removed from his post after it was confirmed that the drone attack had been launched from the province, which borders Iran.
The Gulf Cooperation Council (GCC), comprising Saudi Arabia, the United Arab Emirates, Bahrain, Oman, Qatar and Kuwait, also condemned the attack.
GCC Secretary-General Jasem Mohamed Albudaiwi said the attack represented “a dangerous escalation and an unacceptable threat” to Saudi Arabia’s security, territorial integrity and vital installations, as well as “a flagrant violation of the principles of international law”.
The attack comes amid a major advance by Iran-backed Houthi rebels in Yemen, further threatening vital shipping routes as the US-Iran war enters its seventh month.
The Houthis have made a rapid advance along Yemen’s coastline and claim to control the Bab al-Mandab Strait, a key gateway linking the Red Sea and the Suez Canal. The group says maritime navigation remains “safe for all companies except for Saudi vessels”.
The developments have put pressure on both sides of the Arabian Peninsula and pushed crude oil prices above $100 a barrel for the first time since July.
The surge in energy prices has also heightened fears of inflation and further increased government borrowing costs.