Global Oil Supply at Risk After Saudi Refinery Attack

A drone has struck a major oil refinery in Yanbu, Saudi Arabia, as Iran intensifies retaliatory attacks across the Gulf following recent Israeli strikes on its energy infrastructure.

Saudi Arabia’s Ministry of Defence confirmed that the drone hit the SAMREF refinery, a key facility on the Red Sea coast capable of processing about 400,000 barrels of oil per day. Authorities said the impact caused limited damage and no casualties, though the full extent of the disruption is still being assessed.

The attack comes as part of a broader wave of Iranian missile and drone strikes targeting critical oil and gas infrastructure across the region, including facilities in Qatar, Kuwait, and the United Arab Emirates.

The escalation follows an earlier Israeli strike on Iran’s South Pars gas field; one of the world’s largest, prompting Tehran to retaliate against energy assets it considers linked to its adversaries.

Saudi air defences reportedly intercepted additional incoming threats aimed at the Yanbu port, highlighting the scale of the coordinated assault.

Despite the attack, oil loading operations at Yanbu have resumed after a temporary suspension, suggesting that the damage may not significantly affect Saudi export capacity in the short term.

However, the strike has heightened fears of wider disruption to global energy supplies. Brent crude prices have surged above $115 per barrel, reflecting growing concerns about instability in one of the world’s most critical oil-producing regions.

Analysts warn that continued attacks on energy infrastructure could trigger prolonged supply shocks, further driving up fuel prices and increasing the risk of a broader regional conflict