Oil prices hit 5-month high amid Saudi Arabia attacks and supply concerns

Oil prices reached a five-month high amid concerns that Houthi attacks against Saudi Arabia could lead to new disruptions in energy supply, alongside the closure of a pipeline valve in Libya. Brent crude surpassed the $115 level, while U.S. crude exceeded $101.

Oil prices continued to rise amid concerns that Houthi attacks targeting Saudi Arabia could lead to new disruptions in energy supply. Brent crude futures surpassed the $115 level to reach a five-month high, gaining about 4 percent this week and heading toward completing a third consecutive week with gains. U.S. crude (WTI) also recovered its intraday losses to exceed $101.

According to Reuters, as clashes intensified, Saudi Arabia’s national oil company, Saudi Aramco, requested the evacuation of its headquarters in the city of Dhahran near Bahrain. Clashes between coalition forces and the Iran-backed Houthis intensified as the latter advanced toward the Bab el-Mandeb Strait. Meanwhile, the closure of a valve on the pipeline extending from the Hamada and Tahara oil fields in Libya to the Zawiya Port caused production in both fields to decrease.