A commercial vessel was struck by an unknown projectile while transiting the strategically significant Strait of Hormuz according to the UK Maritime Trade Operations (UKMTO), a British navy affiliated maritime security agency.
UKMTO reported that it had received information about the projectile hitting the vessel as it was moving through the waterway. The type of projectile was not identified in the initial report, the extent of the damage to the vessel was unknown and the status of the crew also remained unknown at the time of reporting.
This incident comes amid severe disruption to shipping through the Strait of Hormuz, a key maritime chokepoint through which about one-fifth of global oil supplies passed before the current hostilities, Reuters reported.
ALSO READ: Another Hormuz? Oil Markets On Edge As Houthis Seize Control Of Red Sea Transit Route
The vessel incident came a day after Saudi Arabia temporarily shut its East-West oil pipeline following a drone attack. Reuters reported that Saudi Arabia and Iraq stated that the drones involved in the attack originated from Iraqi territory, where Iran-backed militants operate.
The 1,200 km East-West pipeline is an important alternative export route for Saudi crude because it allows the kingdom to bypass the Strait of Hormuz. According to the Reuters report, the pipeline had been carrying between 4 million and 5 million barrels of oil per day, which is equivalent to nearly 5% of global oil supply.
There was no ​immediate claim of responsibility for the strikes on the pipeline. Satellite images showed black smoke rising from an area of the pipeline south of Medina. The attack resulted in some injuries and damage that was ​being assessed, the Saudi Foreign Ministry said without detailing the impact on exports. U.S. President Donald Trump, who was visiting Ireland to attend a golf tournament at one of his resorts, stated that Iran was probably to blame, the report stated.
Global Oil Supply At Risk?
The latest strike comes after a week of sharp energy market volatility. Global benchmark Brent crude rose back above $100 per barrel amid escalating attacks and concerns about supply disruption. US retail diesel prices also moved above $6 per gallon.
The combination of attacks on tankers, disruption around the Strait of Hormuz, the Saudi pipeline shutdown, and increasing Houthi activity around the Red Sea, has increased fears of further disruption to global oil supplies.
The security situation is also worsening around another major maritime chokepoint, the Bab el-Mandeb Strait. Iran-backed Houthi forces in Yemen have advanced towards the strategic Red Sea shipping corridor, increasing concerns about the security of another route used for international trade and energy shipments.
Saudi Crown Prince Mohammed bin Salman has sought US military assistance in dealing with the Houthi threat. According to Reuters, the United States has so far indicated that it would provide intelligence support rather than directly intervene against the Houthis. US President Donald Trump has also stated that the Houthis had contacted his administration and expressed a desire to avoid direct US involvement in the conflict.
The latest maritime incident comes as Iran and Gulf states prepare for talks in Oman over regional issues including the future of the Strait of Hormuz. A senior Iranian official told Reuters that Monday's meeting was not expected to result in a signed agreement concerning the waterway.
An agreement on routes through the strait between Iran and Oman will be presented at the meeting on Monday, which will also be attended by Iraq, but the strait will not reopen unless seven conditions conveyed by Iran to the U.S. are met, a source told Tasnim news agency, without elaborating, NDTV reported.
Iran wants its control of the Strait of Hormuz to be recognised, allowing it to collect fees from ships that use it, which Washington rejects. Oman, which controls the opposite bank of the strait, says it is negotiating with the agreement of other regional states.
ALSO READ: Saudi Arabia's Vital East-West Oil Pipeline Hit? Satellite Images Show Huge Smoke Plumes
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