Houthis seize Red Sea islands as Saudi oil pipeline faces weeks of repairs

Yemen's Houthi rebels announced on Monday, September 14, that they had captured the strategic islands of Greater and Lesser Hanish in the southern Red Sea, extending their control over a critical maritime shipping route. The seizure follows recent Houthi gains including the port of Mokha and Perim island near the Bab el-Mandeb Strait, a key alternative to the Strait of Hormuz through which one-fifth of the world's traded oil and gas transits in peacetime. The strait of Hormuz has been effectively closed since the broader Iran conflict escalated in late February.

The territorial advances compound immediate threats to global oil supply. Saudi Arabia's East-West Pipeline, struck in an attack on September 10, requires three to five weeks for repairs and may operate only partially during that period, according to two regional officials. Rystad Energy estimates that 2.6 to 4 million barrels per day that had been moving through the pipeline and out of the port of Yanbu are now at risk. On Tuesday, Brent crude rose 1.17 percent to $106.92 a barrel, while US diesel prices hit $6 per gallon for the first time last week. Chevron CEO Mike Wirth stated on Friday that stock buffers that shielded markets earlier in the year have been "played out," making price softening unlikely in coming months.

The humanitarian toll has intensified rapidly. The World Health Organization reported more than 500 deaths in a seven-day period ending Saturday. The International Organization for Migration said nearly 94,000 people have fled their homes since fighting escalated this month, with about 48,000 displaced from Taiz and Lahj. More than 2,000 have crossed the sea into Djibouti, placing them within 32 kilometers of a US military base. Approximately 200 schools in southwestern Yemen have been converted to shelters.

Saudi-backed Yemeni government forces are attempting to reclaim territory as Houthis press their offensive with missile and drone attacks on Saudi military targets. A Houthi spokesman said strikes on Monday caused "significant damage" in response to over 300 Saudi airstrikes in Yemen in the preceding five days. Houthi militants also wounded 13 civilians in Saudi Arabia on Monday through ballistic missile and drone attacks. Fears are mounting that Yemen is returning to full civil war after a 2022 ceasefire that ended a conflict killing 150,000 people.

Diplomatic tensions have also escalated. Iran's Foreign Ministry spokesman Esmail Baghaei accused Saudi Arabia on Monday of demanding that a planned meeting in Oman on reopening the Strait of Hormuz be postponed. Baghaei stated an agreement between Iran and Oman on the strait has been finalized and will be announced later. Saudi Arabia submitted amendments citing concerns the deal could have lasting negative implications for Gulf Cooperation Council countries. The US Central Command admiral Brad Cooper met with Saudi Crown Prince Mohammed bin Salman in Jeddah to discuss regional developments. Trump reportedly rejected a request for direct US military intervention but agreed to provide intelligence sharing and targeting assistance. China called Houthi attacks on Saudi energy infrastructure "unacceptable" and expressed deep concern about further escalations.