Saudi Arabia's key oil pipeline attacked on Thursday, sharp decline in Red Sea shipping through Bab-el-Mandeb; Houthi rebels claim to have captured 5,400 square kilometers in 9 days

The risks associated with energy transportation in the Middle East continue to escalate. On Thursday, a major Saudi oil pipeline was attacked, resulting in a fire, at the same time the Yemeni Houthi forces claimed to have achieved significant “results” on the Red Sea's western coast recently. Meanwhile, the number of vessels passing through the Bab-el-Mandeb Strait has dropped to single digits.

According to American media reports on Friday, September 11 (Eastern Time), a crucial Saudi oil pipeline was struck by projectiles and caught fire on Thursday. This pipeline links Saudi eastern oil fields to export facilities along the Red Sea coast and serves as a key alternative oil route for Saudi Arabia in light of navigation disruptions in the Strait of Hormuz.

During Friday’s US stock market midday session, following reports of the pipeline attack, international crude oil futures reacted relatively calmly, maintaining an intraday decline of more than 2%.

Earlier Friday, CCTV International News cited a video statement from Houthi spokesman Yahya Saree, issued on September 11, claiming that since September 3, the Houthis have launched large-scale attacks on “Saudi-backed forces” on Yemen’s west coast, capturing six areas in Taiz and Hudaydah provinces within nine days, totaling 5,400 square kilometers. The Houthis also reported that hundreds of adversary personnel were killed, injured, or captured and intercepted 32 Saudi fighter jets, shooting down nine drones.

According to Xinhua News Agency, after the Houthis captured the Red Sea port city of Mocha, shipping through the Bab-el-Mandeb Strait was noticeably affected. At approximately 15:00 local time on the 10th, only six vessels passed through the strait, compared to 30 on the 9th, 26 on the 8th, and 29 on the 7th. Xinhua reported that the Houthis continued advancing towards the Bab-el-Mandeb Strait and surrounding islands after capturing Mocha, with new changes emerging in the Red Sea shipping routes.

However, signs of easing also appeared on Friday. CCTV News reported that the Houthi Supreme Political Council issued a statement announcing that fighting in the provinces along the western coast of the Red Sea had ceased and called for all parties to pressure Saudi Arabia to prevent further escalation.

Saudi Oil Pipeline Attacked, Alternative to Hormuz Faces Risks

American media CNN reported that projectiles struck facilities along the east-west Saudi oil pipeline on Thursday, triggering a fire. A US official revealed that preliminary analysis indicated a pump station near the pipeline was hit. Satellite images showed significant burn damage at one pump station on Friday; another image taken Thursday showed a small fire near a different pump station, with thick black smoke rising.

CNN noted that it’s unclear who carried out the attack and whether the pipeline itself was damaged. However, a US official suggested the attack might have been conducted by drones from Iraq. Sources said it is also unknown how long repairs will take for the damaged facilities.

Satellite monitoring data indicated nine sizable fires near the Saudi east-west pipeline on Thursday. However, at least six of these appear to correspond to flare pits along the pipeline, which are facilities for burning off oil and gas emissions in emergencies—meaning not all detected fires necessarily represent attacks.

The attacked oil route’s primary function is to help Saudi Arabia bypass the Strait of Hormuz, transporting some crude oil to the Red Sea for export by sea. If this route is continually disrupted, Saudi Arabia’s ability to mitigate risks in the Strait of Hormuz will also be impacted.

It is noteworthy that, earlier Friday, CCTV International News cited Axios, an American media outlet, reporting that Saudi Crown Prince and Prime Minister Mohammed bin Salman called US President Trump twice on September 10, urging the US to strike the Houthi forces in Yemen, but Trump declined the request.

US officials stated the American government has “no intention of taking direct military action against the Houthis.” This means that, amid attacks on Saudi energy infrastructure and expanding Houthi control, the US is currently avoiding opening a new military front directly targeting the Houthis.

Traffic in Bab-el-Mandeb Strait Plummets, Houthis Announce Recent Results

Xinhua News Agency reported a marked decrease in vessel traffic through the Bab-el-Mandeb Strait.

According to industry magazine “Middle East Logistics” cited by Xinhua, at around 15:00 on the 10th, only six boats passed through the strait—five exiting, and one entering—whereas 30 vessels passed on the 9th, 26 on the 8th, and 29 on the 7th.

The Bab-el-Mandeb Strait connects the Red Sea and the Gulf of Aden and is one of the world’s key shipping routes. With the Houthis recently expanding control on Yemen’s west coast, shipping companies face heightened security risks.

Regarding previous operations, the Houthis announced a set of major “results” on September 11.

Yahya Saree stated that since September 3, Houthi attacks against “Saudi-backed forces” have seized six regions in Taiz and Hudaydah provinces, covering 5,400 square kilometers; actions targeted seven enemy divisions and 38 brigades, resulting in hundreds killed, wounded, or captured, and rescued several captured Houthi personnel.

The Houthis also claimed to have intercepted 32 Saudi fighter jets and downed nine drones during this period.

This data comes mainly from unilateral Houthi declarations and cannot currently be fully verified through independent channels, making it more suitable as a showcase of their operational results, rather than confirmation that fighting along the Red Sea coast continued on Friday.

In fact, on Friday, CCTV News cited a statement from the Houthi Supreme Political Council saying that fighting in the western coastal provinces of the Red Sea had stopped and called for all sides to pressure Saudi Arabia to prevent further escalation.

Iranian Foreign Ministry Confirms Meeting with Gulf Countries in Oman Next Monday

In contrast to the military risks toward the Red Sea, new diplomatic signals emerged regarding the Strait of Hormuz issue.

According to Xinhua, citing Iran’s Fars News Agency, Iranian Foreign Ministry spokesman Baghaei announced on the 11th that Iran, Iraq, and other Persian Gulf coastal nations will hold a regional meeting on the 14th in Oman to discuss establishing a secure shipping lane for commercial traffic through the Strait of Hormuz.

Earlier, the Financial Times reported that foreign ministers of all six Gulf Cooperation Council states plan to meet with Iranian Foreign Minister Araghchi in the coastal city of Salalah, Oman, on September 14—next Monday. Initiated by Oman, one goal is to secure support for temporary arrangements to regulate commercial vessel passage through Hormuz.

After the Financial Times report, Baghaei posted on social media that the Monday meeting will take place in Oman with Iran, Iraq, and other Persian Gulf coastal nations participating; topics include regional issues and the results of Iranian-Omani negotiations on secure shipping lanes through Hormuz.

He also stated that Iran and Oman have reached an understanding on a temporary route through the Strait of Hormuz. Iran remains committed to maritime security, but amid continued US naval blockades and “economic warfare,” cannot guarantee shipping safety.

This diplomatic progress, coupled with the Houthis’ announcement of a ceasefire along the Red Sea's west coast, partly explains the retreat in oil prices from intraday highs on Friday.

As of Thursday, Brent crude had closed higher for five consecutive trading days, up 12.68% on closing price; WTI rose in eight straight sessions, accumulating a 22.88% gain. Earlier Friday, WTI fell as low as $98.48 per barrel, down 3.9% intraday; Brent dropped to $103.50 per barrel, down over 3.8% intraday.

During Friday’s US stock market midday session, following news of the Saudi pipeline attack and other updates, international oil prices did not significantly reverse earlier declines. WTI remained above $99.90 per barrel, Brent hovered around $105, both still down more than 2%.

This means, at least as of Friday’s market pricing, that supply risks from the Saudi pipeline attack and the sharp drop in Bab-el-Mandeb Strait shipping have not outweighed the impact on oil prices from temporary commercial arrangements in the Strait of Hormuz and the cessation of hostilities on the Red Sea’s west coast.