Red Sea attacks trigger Saudi strikes, oil surge

On July 24-25, 2026, Saudi-led coalition forces conducted airstrikes on Houthi military targets in and around Hodeidah governorate in Yemen. The coalition described the targeted locations as sites linked to threats against commercial vessels operating in the Red Sea.

The strikes came after a series of maritime security incidents in nearby waters and were presented as part of efforts to protect shipping lanes. Hodeidah’s location on Yemen’s western coast makes it a key area in relation to Red Sea traffic and nearby chokepoints.

Earlier in the week, Yemen’s Iran-backed Houthi movement declared a maritime blockade on Saudi-linked shipping transiting the Bab al-Mandeb Strait. The group warned it would target vessels it considered in violation of this declared blockade.

The Houthis said they had attacked two Saudi oil tankers in the Red Sea. Saudi state media confirmed that one of these, the tanker Encelia, was struck, causing a fire, and that a second Saudi-owned vessel, NCC MASA, sustained minor hull damage.

Despite the damage, Saudi authorities reported no casualties on the Encelia and said the fire was located at the bow of the vessel. NCC MASA was inspected after the incident and then continued its voyage, indicating that it remained seaworthy.

The attacks on Red Sea shipping and the broader regional tensions fed directly into oil market pricing. Benchmark Brent crude (UKOIL) rose above $100 per barrel on July 24, 2026, as traders assessed the risk to Middle East export routes frequently used to move Saudi crude.

Shipping analysts and insurers reported rising costs associated with transiting the southern Red Sea, reflecting higher perceived risk. Some shipowners and operators were closely monitoring developments and considering risk-mitigation steps, including potential rerouting away from Bab al-Mandeb.

Even with these pressures, market and ship-tracking data indicated that millions of barrels of Saudi crude continued to be exported from Red Sea ports. National operators and some other owners maintained tanker movements through the area despite the declared blockade and recent incidents.

The security deterioration prompted concern from international authorities. UN Secretary-General António Guterres said he was "deeply alarmed" by Houthi attacks on commercial vessels and highlighted the risks for regional stability and global trade routes.

Maritime authorities and commercial stakeholders have intensified monitoring of vessel movements near the Bab al-Mandeb Strait and the southern Red Sea. The combination of continued crude flows, elevated insurance costs, and military activity has underscored the strategic importance of the corridor for energy markets.