US-Israel-Iran War Latest Live News: ‘Stopped As A Precaution’ – Saudi Arabia Shuts East-West Oil Pipeline After Drone Attacks Launched From Iraq As Houthis Seize Strategic Perim Island

US-Israel-Iran War Latest Live News: Saudi Arabia shuts its East-West oil pipeline after drone attacks as Houthis seize Perim Island near Bab el-Mandeb, raising fresh fears for global oil supplies, shipping and fuel prices.

By: Sumit Kumar
Last Updated: September 12, 2026 09:50:19 IST

US-Israel-Iran War Latest Live News: Saudi Arabia is facing a new energy-security challenge as a crucial oil pipeline has been forced to close just when the kingdom needs alternative export routes the most. The East-West pipeline carries crude from Saudi Arabia’s oil-producing east to the Red Sea and was shut as a precaution after multiple drone attacks hit the route in the Riyadh and Medina regions.

Saudi authorities said the attacks caused injuries and damage, while emergency teams moved to secure the infrastructure and assess its condition. The Saudi Foreign Ministry later said several drones launched from Iraq had targeted the pipeline. Riyadh has not officially named the group responsible, although reporting has linked the attacks to Iran-backed forces.

The timing has made the incident particularly significant. Saudi Arabia has increasingly relied on the pipeline to move crude toward the Red Sea because the Strait of Hormuz has become heavily disrupted during the wider US-Iran conflict.

Now, another strategic route is under pressure. Iran-aligned Houthi forces have taken control of Perim, also known as Mayun, an island sitting in the middle of the Bab el-Mandeb Strait.

US-Israel-Iran War Latest Live News: Why is the East-West Pipeline so Important?

The East-West pipeline, also known as Petroline, connects Saudi Arabia’s eastern oil fields with the Red Sea port of Yanbu.

The route gives Riyadh a way to move crude toward international markets without sending every barrel through the Strait of Hormuz. That makes it particularly valuable during the current conflict.

The pipeline was originally developed in the 1980s as Saudi Arabia sought to reduce its dependence on the Gulf shipping route. Its importance has increased sharply as tanker traffic through Hormuz has faced disruption.

Recent reporting puts its current oil-moving capacity at several million barrels per day. Reuters reported that the pipeline carries roughly 4 million to 5 million barrels daily, equivalent to around 4% to 5% of global oil supply.

Saudi Arabia has also been using the route more heavily since the outbreak of the US-Iran war. Saudi Gazette reported that around 5 million barrels a day that would otherwise move through Gulf terminals had been redirected through the pipeline toward Yanbu.

US-Israel-Iran War Latest Live News: Saudi Arabia Says Drones Came From Iraq

The Saudi Energy Ministry initially confirmed that the pipeline had been attacked multiple times in the Riyadh and Medina regions.

“The East-West pipeline in the Riyadh and Medina regions was subjected to several attacks on Thursday morning,” an energy ministry official told Saudi state news agency SPA.

“The pipeline was stopped as a precaution, and the attacks resulted in some injuries,” the official added.

Saudi Arabia later provided more details through its Foreign Ministry, saying the attack involved drones launched from Iraq. The ministry said the strikes caused injuries and material damage.

Saudi Arabia has so far stopped short of publicly identifying the attackers. Riyadh has instead given Iraq an opportunity to investigate the origin of the drones and prevent further attacks from its territory.

Iraq has condemned the attack and launched an investigation. Reuters reported that an Iraqi military commander was dismissed after authorities determined that the drones had originated from Iraqi territory.

US-Israel-Iran War Latest Live News: Houthis Tighten Grip On Bab el-Mandeb

The pipeline attack came as another major development unfolded along the Red Sea.

Iran-backed Houthi forces captured Perim Island, also known as Mayun, in the Bab el-Mandeb Strait after forces aligned with Yemen’s internationally recognised government withdrew.

The island sits at a strategically important point in the waterway and effectively divides the strait into two shipping channels. Its location gives whoever controls it a significant position overlooking maritime traffic between the Red Sea and the Gulf of Aden.

The Houthi advance follows the group’s seizure of the key Red Sea port of Mocha and other positions along Yemen’s western coastline. The developments have raised fears that the group could exercise much greater influence over shipping through Bab el-Mandeb.

US-Israel-Iran War Latest Live News: Houthi Warning To Saudi Ships

Houthi military spokesperson Yahya Saree said in a statement Friday that “maritime navigation is safe for all companies except for Saudi vessels.”

The statement adds to concerns for Saudi Arabia because the kingdom has increasingly depended on Red Sea routes after disruptions around Hormuz.

AP reported that the Houthi advance has already contributed to a major decline in Red Sea shipping, with many vessels avoiding the area because of security concerns.

The capture of Perim therefore creates another problem for Riyadh. Even if Saudi Arabia can move oil through its East-West pipeline, the crude still has to reach international markets through maritime routes that could now face additional risks.

US-Israel-Iran War Latest Live News: Saudi Oil Exports Face Fresh Pressure

Saudi Arabia has already experienced a major decline in oil exports during the conflict.

Reporting cited in recent coverage showed Saudi oil exports falling to around 3 million barrels per day in August, their lowest level in records going back to early 2017. The decline came as attacks and shipping risks disrupted established export routes.

The East-West pipeline was supposed to provide Saudi Arabia with a vital workaround.

But the latest attack demonstrates the vulnerability of that alternative.

Instead of relying on one major chokepoint, Riyadh now faces risks across several parts of its energy network — from oil infrastructure inside the kingdom to the Red Sea and Bab el-Mandeb.

US-Israel-Iran War Latest Live News: What Happens If Both Hormuz And Bab el-Mandeb Stay Disrupted?

The Strait of Hormuz and Bab el-Mandeb sit at opposite ends of the Arabian Peninsula, but both play a major role in global energy and trade.

Hormuz connects the Persian Gulf with the Gulf of Oman and is a critical route for oil exports from Gulf producers. Bab el-Mandeb connects the Red Sea with the Gulf of Aden and provides a major link between the Indian Ocean, the Suez Canal and European markets.

The Houthi takeover of Perim comes as Iran continues to disrupt shipping through Hormuz. That combination could force more vessels to take longer routes around Africa, increasing fuel use, insurance costs and delivery times.

The AP described the situation as particularly serious for Saudi Arabia because the kingdom had been using the Red Sea as an alternative route after Hormuz became difficult to use.

US-Israel-Iran War Latest Live News: Oil Prices Climb Above $100

The latest developments have added another layer of pressure to already elevated oil prices.

Brent crude has moved above $100 a barrel as traders assess the potential impact of attacks on energy infrastructure and shipping routes. Reuters reported that oil prices rose sharply as the pipeline attack and Houthi advance intensified concerns over future supplies.

The market is particularly sensitive because Saudi Arabia is one of the world’s largest oil producers. Any sustained disruption to its ability to move crude can have consequences well beyond the Middle East.

The threat is not limited to crude prices. Higher shipping costs, longer routes and rising insurance premiums can eventually feed into fuel prices and transportation costs around the world.

US-Israel-Iran War Latest Live News: US Fuel Prices Add To Economic Pressure

The energy shock is already reaching American consumers and businesses.

The national average US diesel price reached $6.05 per gallon, according to AAA, while the national average gasoline price climbed to around $4.29 per gallon.

Diesel plays a central role in freight transportation, railways, construction and agriculture. A prolonged increase can therefore raise the cost of moving goods and producing essential products.

Economists have warned that businesses may eventually pass more of those costs to consumers if elevated fuel prices persist.

“Something that households are going to have to weather at least over the remainder of this year,” said Thomas Ryan, a senior North American economist at Capital Economics.

US-Israel-Iran War Latest Live News: Why This Matters For The Global Oil Market?

The latest Saudi pipeline attack is significant because it targets an infrastructure route designed specifically to reduce the kingdom’s dependence on Hormuz.

At the same time, the Houthi seizure of Perim threatens the maritime route through which Saudi Arabia can send crude toward global markets without crossing Hormuz.

That creates a difficult strategic picture for Riyadh.

The kingdom has options, including longer shipping routes and alternative export arrangements. But those alternatives come with higher costs and greater security risks.

The wider conflict is therefore moving beyond a single question of whether oil tankers can pass through Hormuz. The emerging concern is whether multiple energy corridors around the Arabian Peninsula can remain operational at the same time.

US-Israel-Iran War Latest Live News: Saudi Arabia Faces A New Chokepoint Problem

The East-West pipeline closure and the Houthi takeover of Perim have arrived within days of each other, turning Saudi Arabia’s alternative energy routes into a major focus of the regional conflict.

The pipeline attack has temporarily removed one of Riyadh’s most important land-based alternatives, while the Houthi advance threatens the maritime route that connects Saudi crude exports to global markets through the Red Sea.

Saudi Arabia has not publicly assigned responsibility for the pipeline attack, despite reports linking the strike to Iran-backed groups. That distinction remains important as Riyadh weighs its response.

For global energy markets, however, the message is already clear: the conflict is no longer threatening only one oil chokepoint. It is putting pressure on the wider network that keeps Middle Eastern energy flowing to the world.

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