Houthis Hit Two Saudi Oil Tankers, Oil Hits $98 as Ships Reverse Course in Red Sea
Houthi rebels struck two Saudi oil tankers with missiles and drones, pushing crude prices to $98 per barrel and causing all oil tankers heading to or from Saudi ports to abruptly change direction.
Yemen’s Iran-backed Houthi group fired on two Saudi oil tankers in the Red Sea, striking the vessels named Encelia and Layla [202776]. The attacks come as the Houthis have threatened to impose a “maritime embargo” on Saudi Arabia through the Bab el-Mandeb Strait, a narrow waterway connecting the Red Sea to the Gulf of Aden through which about 10% of global seaborne oil passes [202916][202167]. No casualties or major damage have been reported from the latest incident [202776].
The strikes have triggered an immediate response from the shipping industry. All oil tankers heading to or from Saudi ports have reversed course, according to ship-tracking data [202756]. The Bab el-Mandeb Strait, already considered dangerous for commercial vessels, has seen cargo ships turn back after Houthi forces prepared drones and missiles for potential strikes in the area [202167].
The attacks have raised alarms over supply disruptions to a key global energy route. A naval group confirmed that Houthi missiles and drones struck ships in the southern Red Sea, endangering millions of barrels of Saudi crude oil exports each day [202041]. Asian oil buyers are already facing delays of up to a month as tankers avoid the strait and take longer alternative routes around Africa [202777].
The threat has also pushed oil prices higher. Crude hit $98 per barrel following the Houthi attack on the Saudi tankers [202776]. Analysts warn that a serious disruption in the Bab el-Mandeb could send prices above $100 per barrel [201614]. In response, US President Donald Trump repeated a warning to Iran that any further attacks on ships in the Strait of Hormuz will be met with US strikes on Iranian bridges and power plants [202923].