Photo: Lucy Nicholson / Reuters
Oil prices on Monday, August 19, rose more than 1 percent at the opening of trading after the attack drones into Saudi shaybah field. Market participants fear that the incident would affect production levels in the Kingdom, writes Reuters.
Attack by the Huthis on Saturday, August 17, was the largest since the conflict began their attack on Saudi territory, far from the border with Yemen. Used ten drones with explosives that led to the fire on a gas plant Saudi Aramco.
In Riyadh said that the fire was quickly extinguished and damage was minor. However, senior market strategist at CMC Markets, Michael McCarthy, in comments to Bloomberg speculated that the incident will help the market. Also on the growth of oil, in his opinion, running the latest improvement in the trade war the US and China. However, the latter argument may cast doubt on the new sharp statement of the President of the United States Donald trump. He announced that he no longer wants to do any business with Huawei because it threatens national security. The issue of extension of licenses for its technology giant sensitive for Beijing, therefore, these measures can cause the response of the Chinese side and lead to new tensions.
This is not the first case of drone attacks to objects of petroleum industry of Saudi Arabia. In may, the drones with explosives struck the pipeline East — West, then in the Kingdom has stopped pumping.
The conflict in Yemen started in 2014. The rebels of the Shiite movement “Ansar Allah” took control of the territory of the country. In 2015, on the background of the success of the movement, Saudi Arabia has assembled a coalition of Arab States and announced the beginning of military operations to support the fleeing of President Abd-rabbu Mansour Hadi.
Video, photo All from Russia.