The East–West pipeline is crucial for shipping Saudi oil to the Red Sea, bypassing the Strait of Hormuz. This latest incident risks driving oil and fuel prices even higher.
An oil pipeline in Saudi Arabia, deemed "essential" for bypassing the blockade of the Strait of Hormuz, has been shut down after a fire that, according to the authorities, followed a drone attack launched from Iraq.
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The East-West pipeline links Abqaiq, near the Persian Gulf, to the port of Yanbu on the Red Sea, and is used as an alternative to the Strait of Hormuz for transporting Saudi oil to the Red Sea. A statement from the Saudi foreign ministry referred to a fire near Medina, said to have caused "human and material damage".
A government official in Riyadh had already told the media that people had been injured in the drone attack and the subsequent blaze. The same official said the pipeline had been shut down as a precaution.
The Iraqi government acknowledged that the attack was launched from its territory and announced that it had dismissed the commander of Maysan province in the south of the country as a consequence.
Saudi Arabia frequently accuses Iran-linked armed groups based in neighbouring Iraq of targeting its oil facilities with drones.
The Gulf Cooperation Council, which brings together six countries in the region, issued a statement expressing concern and describing the incident as "a dangerous escalation and an unacceptable threat to the security of the Kingdom of Saudi Arabia".
The government in Riyadh said it would not respond to the attack for the time being, stating that it intended "not to react at this stage and to support the efforts of the Iraqi government to prevent attacks launched from its territory against the Saudi kingdom and neighbouring countries".
This incident comes just a day after the Houthi rebels in Yemen, backed by Iran, took control of an island of strategic importance in the Bab al-Mandab Strait, a location of crucial importance for global oil trade. It marks an escalation in the Houthis' attempts to block Saudi Arabia's trade; Riyadh backs Yemen's government. According to the rebels, navigation in the strait was "safe for everyone except the Saudis".
This latest attack adds another layer to the series of incidents in the war launched by the United States and Israel against Iran in February, which has pushed oil and fuel prices to new record highs. The price of a barrel of oil climbed above 100 dollars on Friday, with fuel prices hitting fresh records.