Saudi Arabia intercepted two ballistic missiles fired by Yemen’s Iran-aligned Houthis towards Khamis Mushait, OilPrice.com reported, as the confrontation raised concerns over further attacks on energy infrastructure. The attempted strike on the south-western city near the Yemeni border followed a day after two successive deadly attacks on Riyadh’s international airport, according to the outlet.
OilPrice.com cited a Saudi Press Agency statement quoting Major General Turki Al-Malki, spokesman for the Coalition to Restore Legitimacy in Yemen, who said early on Tuesday that both missiles had been destroyed. The report characterised the latest attempted attacks on Saudi cities as evidence of an intensifying confrontation between Saudi Arabia and the Houthis.
The conflict also threatens an important route for Saudi oil exports. A Saudi-led force is fighting the Houthis to recover control of much of Yemen’s coastline along the Red Sea and the Bab el-Mandeb Strait. Saudi crude cargoes loaded at Yanbu normally pass through that strait on their way to Asian markets, OilPrice.com said. In July, the Houthis pledged to obstruct Saudi shipments while permitting other vessels to pass.
Those threats have already prompted Saudi Arabia to move crude through Egypt’s Mediterranean ports to avoid the southern Red Sea chokepoint, according to the report. Cargoes taking that alternative must travel from the Mediterranean around the Cape of Good Hope before heading towards East Asia. OilPrice.com put the additional voyage time at roughly one month compared with the usual passage from Yanbu.
Despite the security concerns, oil prices declined by 1% in early Asian trading on Tuesday, with Brent easing to $105 a barrel after exceeding $106 on Monday. Saudi Energy Minister Prince Abdulaziz bin Salman had sought to reassure markets on Monday about the resilience of the kingdom’s energy supplies. OilPrice.com said trading since the start of the week had reflected competing concerns over a broader Middle East escalation and hopes that a Russia-Ukraine energy ceasefire could bring relief from sharply higher fuel prices.