Saudi Arabia assesses damage after fresh strike on Aramco's Jizan oil facilities

Saudi Aramco's oil facilities in the industrial border city of Jizan were hit by a fresh strike on Monday, with the extent of the damage being assessed, as attacks on energy infrastructure intensified amid a wider escalation in the region.

The Jizan complex is home to a 400,000-barrel-per-day refinery, one of Saudi Arabia's largest, as well as associated processing plants and energy infrastructure, says India Today.

The incident is similar in scale to an attack last month that temporarily disrupted production. Aramco Chief Executive Amin Nasser said the previous strike had no material operational or financial impact.

The Iran-backed Houthi rebels in neighbouring Yemen have historically targeted Jizan, but the group has not claimed responsibility for Monday's strike.

Ceasefire breakdown

The latest incident comes amid a breakdown in the fragile 2022 ceasefire between Saudi Arabia and the Houthis.

The Houthis declared a blockade on Saudi Red Sea ports in July and subsequently launched drone and missile attacks against energy infrastructure.

Over the weekend, Houthi forces also launched a major ground offensive along Yemen's Red Sea coast towards the Bab al-Mandeb Strait, with fighting involving Saudi-backed government forces around Taiz and the historic port of Mocha.

The fighting represents the fiercest in Yemen in six years and has raised concerns over the security of the Bab al-Mandeb, a strategic maritime chokepoint.

The strait has become increasingly important for Saudi oil exports, particularly as Iran has restricted shipping through the Strait of Hormuz.

Oil shipments disrupted

The escalation has disrupted regional oil logistics, with Jizan's role as an alternative export hub diminished as Houthi attacks resumed.

Jizan initially served as an alternative export hub when fighting disrupted Gulf exports earlier in the US-Iran war. But shipments subsequently fell sharply, with Kpler data showing no oil products were shipped from Jizan in August 2026.

Shipping has also been disrupted in the Strait of Hormuz.

Over the weekend, US forces struck three Iranian oil tankers, while Iran's Revolutionary Guard (IRGC) targeted three commercial tankers in the strait.

Tanker traffic through Hormuz has fallen to an average of about 10 commodity ships per day, the lowest level since May.

Oil prices rise

Uncertainty over the two key transit corridors has put pressure on global energy markets.

Brent crude rose about 1.2% to $97.40 a barrel on Monday, its highest level since late July. US West Texas Intermediate was also trading near a six-week high.

Market analysts have warned that continued attacks on commercial tankers could create supply shocks. If maritime attacks intensify, some analysts expect oil prices could rise as high as $120 a barrel.