Story
Houthi Rebels Claim Drone Attack on Saudi Aramco's Jazan Refinery

Yemen's Iran-aligned Houthi group said it attacked a major Saudi Aramco oil refinery in Jazan on Sunday, prompting a fire at the facility. Saudi Arabia's energy ministry confirmed a fire broke out at the refinery and was extinguished, though it did not state the cause of the blaze.
Attack and Official Response
Houthi military spokesperson Yahay Saree announced the drone attack in a post on the social media platform X. The group has previously targeted Aramco's energy infrastructure in Jazan and other locations along the Red Sea.
In a subsequent statement, the Saudi energy ministry acknowledged a fire at the Jazan refinery, a facility capable of processing 400,000 barrels of crude oil per day. The ministry reported that the fire was brought under control and that no injuries occurred. It added that authorities were completing procedures to manage the incident.
Geopolitical Context
The attack comes just two days after Saudi Arabia signed a defense pact with Turkey and Pakistan. The accord is intended to create a collective deterrence against aggression, stating that an attack on one member would be considered an attack on all. This follows a significant escalation in regional tensions, including what the source described as a U.S. and Israeli attack on Iran on February 28.
AdAttacks on critical Saudi energy infrastructure can have significant implications for global oil markets, potentially causing supply disruptions and price volatility. Last week, Aramco chief Amin Nasser stated that recent attacks had caused some production interruptions but had no material operational or financial impact on the company.
History of Incidents
The Jazan refinery, located in southwestern Saudi Arabia near the border with Yemen, has been a repeated target. According to a note from consultancy IIR seen by Reuters, Aramco previously shut the refinery on July 27 after a Houthi attack damaged its Integrated Gasification Combined Cycle (IGCC) complex and tank farm area.
Last month, the Houthis also declared a naval blockade against Saudi Arabia in the Red Sea. The group has been engaged in a long-running conflict with a Saudi-led coalition.
Read next
More on Commodities
U.S. Crude Inventories Post Surprise Draw While Gasoline Stocks Swell, EIA Reports
U.S. crude oil stockpiles fell unexpectedly last week, driven by a surge in exports, while gasoline inventories saw a significant build amid weakening demand, according to the latest EIA data.

UBS Raises Year-End Brent Forecast to $110 on Middle East Supply Risks
UBS has increased its year-end forecast for Brent crude to $110 per barrel, citing escalating supply risks in the Middle East, declining global inventories, and record-high freight costs.

Iran Dismisses Latest Qatari Peace Proposal as 'Unacceptable'
A senior Iranian official has rejected the latest Qatari-mediated draft deal to end the eight-month war, calling the ideas 'unacceptable' and signaling a continued diplomatic impasse. The news comes amid rising oil prices following attacks on Saudi energy infrastructure.

Argentina Poised to Gain EU Soymeal Market Share as Deforestation Rules Hit Brazil
Argentina's soybean industry is preparing to capture a larger share of the European Union's soymeal market as new EU anti-deforestation rules are expected to disrupt exports from rival Brazil.