Drone Strike on Egyptian Port Raises Shipping Risks Through Suez Canal

A drone strike on two gas vessels in Egypt's Damietta port has raised concerns about shipping risks through the Suez Canal, a crucial route for Saudi oil exports.

The unidentified drone caused a fire on the US-owned gas storage tanker Energos Winter and spread to another vessel at Damietta port, near the Suez Canal, which links the Mediterranean and Red Seas.

Iran has denied any involvement in the strike, with Iranian Foreign Minister Abbas Araqchi stating that Egypt's security is of utmost importance to Iran and that they must be vigilant against Israeli plots and false-flag operations designed to undermine regional peace.

The incident heightens energy security concerns about the Suez Canal and a related pipeline, a vital export route for Saudi Arabian oil since the beginning of the Iran war. A growing volume of Saudi oil has been diverted north up the Red Sea toward the Suez Canal and the SUMED pipeline, according to data from market intelligence firm Kpler.

The drone strike on the two gas tankers in Egyptian waters has renewed concerns about the safety of shipping through the Suez Canal, a key route for global oil supplies. Saudi Arabia has proposed a multinational maritime defence coalition aimed at protecting international shipping and energy supply routes in the Red Sea region.