Live Updates: Iran-backed Houthis tighten grip on oil routes
Wertynews.com – Live Updates: Iran-backed Houthis tighten grip on strategic shipping lanes as new attacks and regional tensions raise concerns about the movement of oil. Saudi Arabia halted operations on a major pipeline after drone strikes, while diplomatic efforts involving Israel and Lebanon were delayed.
The developments show how the conflict involving Iran is affecting both military activity and the infrastructure that supplies global energy markets. Oil prices retreated after climbing sharply overnight, helping U.S. stocks recover, but worries about inflation and transport security remain.
Saudi Arabia suspends East-West pipeline operations
Saudi authorities stopped operations on the East-West pipeline in the Riyadh and Medina regions after it was struck Thursday morning. An energy ministry official described the move as precautionary and said people were injured.
“The East-West pipeline in the Riyadh and Medina regions was subjected to several attacks on Thursday morning.”
Saudi Arabia’s foreign ministry said drones launched from Iraq struck the pipeline, causing damage and injuries. Officials did not publicly identify those responsible, although reports have pointed to the Iran-backed Houthi movement.
The approximately 750-mile pipeline moves crude from the Abqaiq oil fields in the Eastern Province to Yanbu, a Red Sea port. It can carry an estimated 5 million to 7 million barrels a day. Before the war, roughly 20 million barrels of oil per day passed through the Strait of Hormuz.
The pipeline gives Saudi Arabia an alternative to the Strait of Hormuz, allowing oil to reach Yanbu and continue through the Red Sea toward the Suez Canal or Bab el-Mandeb. It was built during the Iran-Iraq war in the 1980s to reduce reliance on a vulnerable maritime route.
Red Sea shipping faces renewed risks
That alternative route is also under pressure. Live Updates: Iran-backed Houthis tighten grip on areas of Yemen’s western coast, increasing the danger for tankers traveling through Bab el-Mandeb, the narrow waterway between the Red Sea and the Gulf of Aden.
The pipeline strike illustrates the challenge for oil producers and shipping companies: diverting supplies from one threatened passage does not remove risk when land infrastructure and vessels at sea can both be targeted. A long disruption could push fuel prices higher and make inflation harder to control.
Brent crude, the international oil benchmark, fell below $105 a barrel Friday after nearing $110 overnight. The decline followed a recent jump tied to the continuing conflict with Iran.
U.S. stocks recovered much of the week’s earlier losses. Investors were also encouraged by an inflation report that broadly met economists’ expectations, although household costs remain high. Consumer prices for gasoline, food and other expenses were 3.4% higher last month than a year earlier.
Israel-Lebanon negotiations postponed
Efforts to stabilize southern Lebanon were also delayed. The next round of Israeli-Lebanese talks in Rome is now scheduled for October rather than early September.
Before that meeting, the Lebanese and Israeli ambassadors are expected to meet at the State Department in Washington next week. They are set to discuss current developments and work under a framework agreement reached in June.
The Trilateral Framework calls for Hezbollah to disarm, Israeli forces to withdraw gradually from southern Lebanon, and the Lebanese army to deploy to the area. The first deployment areas are identified as pilot zones.
“[It] remains the only viable mechanism to restore Lebanon’s sovereignty and Israel’s security.”
Hezbollah joined the wider conflict after the United States and Israel began their war against Iran in late February, firing missiles toward Israel from Lebanon. Violence had eased after the June memorandum of understanding between the United States and Iran and the later Lebanon-Israel arrangement, but strikes have intensified again in recent days.
Iran and U.S. officials exchange criticism
Iranian Foreign Minister Abbas Araghchi continued a public dispute with U.S. Treasury Secretary Scott Bessent after Washington announced sanctions that were compared to “economic D-Day.”
“The U.S. Treasury Secretary has been gleefully boasting about wanting to impoverish Iranians and collapse our economy.”
FAQ: What could this mean for U.S. consumers?
Could shipping disruptions raise gasoline prices? Prolonged interruptions to oil transport can add pressure to fuel costs, although prices also depend on refinery activity, inventories and broader market conditions.
Why is Bab el-Mandeb important? The passage connects the Red Sea with the Gulf of Aden and is part of a route used to move oil toward the Suez Canal and international markets.
Why does the Saudi pipeline matter? It provides a land-based route from eastern Saudi oil fields to the Red Sea, helping reduce dependence on the Strait of Hormuz when maritime routes face threats.