Houthis Seize Key Territory in Red Sea, Threaten Saudi Oil Production

The Houthis have seized control of key territory in Yemen's Red Sea coast and several strategic islands, threatening Saudi Arabia's oil production and potentially sparking a wider war.

This gives them control over the approaches to Bab al-Mandeb Strait, which carries 12 percent of maritime world trade. The strait links the Red Sea with the Gulf of Aden and Indian Ocean, making it a crucial route for global shipping and energy markets.

Saudi Arabia's oil exports are heavily reliant on this route, as the closure of the Hormuz Strait has forced them to rely on the Bab al-Mandeb route. This is now threatened by the Houthis' control, which could lead to reduced oil supplies and higher prices.

The Houthis have also declared the strait 'safe for all companies except Saudi ships', indicating they may impose restrictions or blockages if their demands are not met.