Saudi Arabia Halts Operational Activities at Multiple Energy Sites Immediately

Saudi Arabia Halts Operational Activities at Energy Facilities Due to Attacks

Operational activities at several energy facilities in Saudi Arabia have been halted due to recent attacks, according to an official source at the Ministry of Energy. The attacks targeted oil, gas, and electricity sites in Riyadh, the Eastern Province, and Yanbu Industrial City.

The attacks resulted in the death of one Saudi national from industrial security personnel and injured seven others, as reported by the Saudi Press Agency on Thursday. The Gulf countries, which include Saudi Arabia, the United Arab Emirates, Bahrain, Kuwait, Oman, and Qatar, have faced repeated drone and missile attacks from Iran over recent weeks.

The attacks on Saudi energy sites resulted in a reduction of approximately 600,000 barrels per day in the kingdom’s oil production capacity, according to the SPA report. The official stated that continued attacks lead to reduced supply, slow recovery, and contribute to increased volatility in the oil market due to their impact on the security of supply for consuming countries.

The recent developments have led to an increase in oil prices as global markets weigh the prospects of a shaky Iran-US ceasefire and potentially the full reopening of the Strait of Hormuz. The US President announced a two-week halt in the war against Iran, while Tehran stated it would reopen the waterway that normally transports one-fifth of the world’s oil and gas.

However, the ceasefire has been placed in doubt due to ongoing tensions between Israel and Lebanon, as well as Iran’s continued attacks on Gulf countries. Several leaders have called for Lebanon to be included in the ceasefire, while Tehran plans to impose a toll on ships transiting Hormuz.

Source: Al Jazeera