Saudis shut down oil pipeline as Houthis tighten grip on Red Sea shipping
Saudi Arabia shut down its East-West pipeline after a drone attack that Baghdad and Riyadh said originated in Iraq. The pipeline had been moving 4 million to 5 million barrels per day, about 4% to 5% of global supply, as the main route for Middle East oil while the Strait of Hormuz was largely shut. The Houthis also seized the strategic island of Perim in the Bab el-Mandeb Strait.
Why it matters: This matters for energy security because the closure of the East-West pipeline and Houthi advances threaten a major oil supply route.