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Saudi Aramco has shut down its 400,000-barrel-per-day Jazan oil refinery following an attack by Yemen’s Houthis (Ansar Allah), according to a note from the consultancy International Institute for Research (IIR) seen by Reuters on July 28.
The refinery was closed on July 27, two days after the attack, which caused damage to the facility’s integrated gasification combined cycle complex and the tank farm area, the IIR note said. Aramco expects to complete repairs and restart the plant by August 15, it added.
Houthi military spokesperson Yahya Saree announced on July 25 that the group had successfully targeted Saudi Aramco facilities in both Jazan and Yanbu.
Satellite imagery from the European Union’s Sentinel-2 revealed a fire was still raging at parts of the refinery in Jazan as of July 27. They also show fire at a nearby bulk plant facility owned by Aramco.
The imagery also revealed damage at the Yanbu Bulk Plant. The nearby Alhamrani-Fuchs Blending & Grease Plant also appears to have sustained heavy damage, with much of the facility seemingly destroyed by fire.
In addition to the attacks on Jazan and Yanbu, the Houthis claimed responsibility for an attack that targeted Aramco’s largest oil processing facility in Abqaiq on July 27. Nevertheless, Saudi Arabia said that the attack originated from Iraq, accusing Iran-backed armed factions there.
Recent Sentinel-2 imagery also revealed extensive damage at the facility, which is capable of handling about 7 million barrels per day.
There is still no clear information on how these recent strikes have impacted the export of Saudi oil, but the impact is most likely significant.
Coupled with the ongoing Houthi maritime blockade on Saudi Red Sea ports, and the Iranian blockade on the Strait of Hormuz, the main gate of the Persian Gulf, the kingdom will likely face serious difficulties exporting its oil. The global energy market will be hit hard, although not quickly. Saudi oil makes up close to 15 percent of world supplies.
Any further escalation, whether against Yemen, Iraq, or Iran itself, won’t be in favor of Saudi Arabia, as it could expose more oil facilities to similar attacks.
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