Saudi Pipeline Shutdown Sends Oil Prices Soaring Amid Tensions with Iran

Crude oil prices surged on Sunday after Saudi Arabia shut down its East-West pipeline due to drone damage from Iraq. The pipeline bypasses the Strait of Hormuz, a critical waterway in the Middle East. U.S. West Texas Intermediate futures rose by 2.3% to $102.38 per barrel.

The incident has heightened tensions between Iran and Gulf states, with a meeting planned for Monday in Oman aimed at discussing issues including the Strait of Hormuz. However, a senior Iranian official stated that no signed agreement is expected over the blockaded waterway.

Saudi Foreign Minister emphasized the importance of respecting the sovereignty and independence of Gulf states, adding that their security will not be stable without it. The Kingdom's security is 'inviolable,' according to the minister.