IT’S OIL-OUT WAR
Yemeni attack to hit world supply
The US says it is s ready to use its 630-millionbarrel strategic oil reserve to prop up markets in the wake e of a drone attack on the world’s biggest oil processing facility in Saudi Arabia.
Huge fires erupted after r Yemen’s Iranian-backed d Houthi rebels used drones to attack the Abqaiq oil processing facility and the Khurais oilfield, forcing the suspension of production.
Saudi Arabia’s energy minister said about 50 per cent of capacity had been knocked out by the attacks.
Prince Abdulaziz bin Salman bin Abdulaziz said the explosions caused several fires that were controlled, but there were no injuries.
He said the drone attacks were aimed not only at Saudi Arabia, but also at the world’s oil supply and its security.
US President Donald Trump spoke with Saudi Crown Prince Mohammad Bin Salman “to offer his support” while the US Energy Department announced the US “stands ready to deploy resources from the Strategic Petroleum Oil Reserves if necessary to offset any disruptions to oil markets”.
Energy Secretary Rick Perry has also directed department leaders to work with the International Energy Agency on potential available options for collective global action if needed. Nations of the 30-member IEA seek to respond to disruptions in the oil supply and advocate for energy policy.
A military spokesman for Yemen’s Houthi rebels claimed responsibility for the drone attack.
Yahia Sarie warned that attacks by the rebels against the kingdom would only get worse if the war in Yemen continues.
“The only option for the Saudi government is to stop attacking us,” Sarie said.
A Saudi-led coalition has been battling the rebels since March 2015. US Secretary of State Mike Pompeo is blaming Iran for the drone attacks.
He said “there is no evidence the attacks came from Yemen” and pointed the finger at Tehran, adding “Iran has now launched an unprecedented attack on the world’s energy supply”.
“The United States will work with our partners and allies to ensure that energy markets remain well-supplied and Iran is held accountable for its aggression,” Mr Pompeo said.
Houthi rebels have been using drones in combat since the start of the Saudi-led war. The first appeared to be offthe-shelf, hobby-kit-style drones. Later, versions nearly identical to Iranian models turned up. Iran denies supplying the Houthis with weapons, although the UN, the West and Gulf Arab nations say Tehran does.
UN investigators said the Houthis’ new UAV-X drone likely has a range of up to 1500km. That puts the far reaches of both Saudi Arabia and the United Arab Emirates in range.
The attacks come as Mr Trump has held the door open for nuclear talks with Iranian President Hassan Rouhani, and as Iran restarted some uranium enrichment in violation of the 2015 nuclear accord.