Yemen's Houthi forces have claimed responsibility for an attack on two Saudi oil tankers in the Red Sea, sparking a surge in international crude oil prices to above $98 per barrel for the first time since early June.
On Thursday, the Houthi group, through its Al-Masirah TV channel, issued a statement in which a spokesperson stated that missiles and drones were used to strike the tankers named "Encelia" and "Layla." The group accused the vessels of violating a maritime blockade imposed by the Houthis in the Red Sea.
Earlier this week, the Houthi forces issued a warning, declaring a maritime blockade against Saudi Arabia and threatening to reignite a decade-long conflict with the kingdom.
Saudi Arabia's state news agency, citing official sources, confirmed that the "Encelia" tanker was attacked, resulting in a fire at the bow, but all crew members were reported safe.
During early London trading hours, the international benchmark Brent crude surged by 4.2% to $98.10 per barrel. With the ongoing escalation of tensions between the US and Iran, oil prices have accumulated a gain of over 30% this month.
This attack threatens to shatter a four-year ceasefire between Saudi Arabia and the Houthi forces and also jeopardizes the smooth flow of shipping through the Bab el-Mandeb Strait. This strait is a critical maritime trade chokepoint connecting the Red Sea and the Gulf of Aden to the Indian Ocean.
The assault occurs at a pivotal moment in the US-Iran conflict, following the collapse of a ceasefire agreement last week, as both nations vie for control over the Strait of Hormuz.
With Iran having previously threatened to block the Strait of Hormuz, the Bab el-Mandeb Strait has become a vital route for Saudi crude oil exports to Asia. Data from energy analytics firm Kpler shows that Saudi Arabia relies on its east-west pipeline to transport crude to the Red Sea port of Yanbu, which handles nearly 4.9 million barrels per day of crude and refined products for export.
This week, several tankers carrying Saudi crude altered their courses and abandoned Red Sea routes after receiving radio warnings from the Houthi forces.
Since the Hamas attack on October 7, 2023, and the subsequent Israeli military campaign in Gaza, the Houthi forces have conducted multiple attacks to disrupt Red Sea shipping, although they had not targeted commercial vessels since last summer.
The Houthi forces are considered one of the most potent armed groups within Iran's so-called "Axis of Resistance." While they launched missiles and drones towards Israel in March and early April of this year, they have largely avoided deep involvement in the US-Iran confrontation.
However, market concerns have persisted that the Houthis might coordinate with Tehran to blockade the Bab el-Mandeb Strait, exerting pressure on global energy markets and international trade.
In a research note, Helima Croft, an analyst at RBC Capital Markets, suggested that formal Houthi involvement in the US-Iran conflict could "exacerbate global crude supply losses," significantly diminishing the value of Saudi Arabia's Red Sea pipeline capacity.
"If the Houthis sustain maritime attacks, there could be a material reduction in total Red Sea crude flows," Croft stated. "The prevailing market assumption that alternative shipping routes can always be found may be fundamentally challenged."
Saudi authorities have stated that they will take all necessary measures to ensure the security of shipping in the Red Sea.
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