DUBAI, UNITED ARAB EMIRATES – The weekend drone attack on one of the world's largest crude oil processing plants that dramatically cut into global oil supplies is the most visible sign yet of how Aramco's stability and security is directly linked to that of its owner -- the Saudi government and its ruling family. The strikes, which U.S. Secretary of State Mike Pompeo blamed on Iran despite staunch denials by Tehran, led to suspension of more than 5 percent of the world's daily crude oil production, bringing into focus just how vulnerable the company is to Saudi Arabia's conflicts outside the country's borders, particularly with regional rival Iran. That matters greatly because Aramco produces and exports Saudi Arabia's more than 9.5 million barrels of oil per day to consumers around the world, primarily in Asia. It also comes as the state-owned company heads toward a partial public sale. To prepare for an initial public offering, the company has recently taken steps to distance itself from the Saudi government, which is controlled by the Al Saud ruling family.
DUBAI, United Arab Emirates – The energy-rich Arab nation of Qatar says its ruling emir received a letter from the king of Saudi Arabia. The letter marks the highest-level, publicly known contact between the two nations since the kingdom and three other nations began boycotting it nearly two years ago. Qatar's Foreign Ministry late Sunday said the letter from King Salman to Sheikh Tamim bin Hamad Al Thani requested Doha's presence at an emergency summit being held in Mecca later this week over alleged sabotage of ships off the United Arab Emirates and a drone attack by Yemen's rebels on a Saudi oil pipeline amid U.S.-Iran tensions. Qatar did not say whether it would attend the meeting. Bahrain, Egypt, Saudi Arabia and the UAE have been boycotting Qatar over a political dispute since June 2017.
DUBAI, UNITED ARAB EMIRATES – Yemen's Houthi movement launched drone attacks on oil facilities in a remote area of Saudi Arabia, the group's Al Masirah TV said Saturday, but there was no immediate confirmation from Saudi authorities or state oil giant Aramco. A Saudi-led coalition is battling the Iran-aligned Houthis to try to restore Yemen's government, which was ousted from power in the capital, Sanaa, by the group in late 2014. The war has been in military stalemate for years. The Houthis have stepped up cross-border missile and drone attacks on Saudi Arabia in recent months. "Ten drones targeted Aramco's Shaybah oilfield and refinery in the first Operation: Balance of Deterrence in the east of the kingdom," the Al Masirah channel reported, citing a Houthi military spokesman.
DUBAI, UNITED ARAB EMIRATES - A Yemen rebel drone strike this week on a critical Saudi oil pipeline shows that the otherwise-peaceful sandy reaches of the Arabian Peninsula now are at risk of similar assault, including an under-construction nuclear power plant and Dubai International Airport, among the world's busiest. U.N. investigators said the Houthis' new UAV-X drone, found in recent months during the Saudi-led coalition's war in Yemen, likely has a range of up to 1,500 km (930 miles). That puts the far reaches of both Saudi Arabia and the United Arab Emirates, the two main opponents of the Iranian-allied Houthi rebels in Yemen, within reach of drones difficult to detect and track. Their relatively simple design, coupled with readily available information online, makes targeting even easier, analysts say. "These installations are easily findable, like on Google Earth," said Tim Michetti, an expert on illicit weapons technology with experience in Yemen.