Saudi Pipeline Attacked, Global Oil Prices Soar Above $100
Saudi Arabia has temporarily shut down its East-West pipeline after it came under aerial attack from Iran-backed militias. The pipeline, which carries around 4-5 million barrels of oil per day, is a vital conduit for Saudi Arabia's crude exports.
The attack on the pipeline was part of a broader escalation in the Middle East war, as Houthi rebels in Yemen tightened their grip on the Red Sea and seized the strategic island of Perim. The dual attacks have put an energy squeeze on both sides of the Arabian Peninsula and sent global oil prices above $100 per barrel.
The Saudi energy ministry said it had shut down the pipeline as a precaution, while Iraq's government condemned the attack and ordered the closure of its border crossing with Iran. The Iraqi prime minister's office also dismissed a military commander who led operations in Maysan province, where Iranian-backed Shi'ite militias operate.
The US has been asked for military help by Saudi Arabia to deal with the Houthis, but so far, there has been no retaliation from Riyadh following a request from the Iraqi prime minister. The kingdom reserves the right to 'take all measures necessary' to protect its interests, the Saudi foreign ministry said.