Oil-rich Saudi Arabia has been a paradise on earth with reference to oil supply across the world. But the problem has escalated to a new level now. Yemeni Houthi Rebels launched drone attacks on the world’s largest oil processing facility in Saudi Arabia & a major oil field which sparked huge fires & halting about half of the world’s oil supplies from the world’s largest exporter of oil. The attacks were the latest of many drone assaults on the Kingdom’s oil infrastructure in recent weeks but easily the most damaging.
This has raised concerns about the global oil supply & likely to further increase tensions across the Persian Gulf amid an escalating crisis between US & Iran over the fallout of its nuclear deal with world powers.
This attack has resulted in the temporary suspension of production operations at the Abqaiq oil processing facility & Khurais oil field. As per the media reports “The Fires were controlled & no workers were Injured”. As per the media reports the fires have led to the interruption of an estimated 5.7 Mn barrels in crude oil supplies and said, that would be offset with stockpiles. Saudi Aramco the state-owned oil giant would provide updated information in due course of time.
The Iranian backed Houthi rebels have taken responsibility for the attacks in the war against a Saudi led coalition that has fought since 2015 to reinstate the internationally recognized Yemeni government. But US secretary of state Mike Pompeo tweeted “There is no evidence that the attacks came from Yemen. He added that Iran has now launched an unprecedented attack on the world’s energy supply”.
As per media reports, Saudi Crown Prince has warned that such escalations could spike the oil prices to an unimaginable number if the world does not come together to deter Iran but he also emphasized having a political solution rather than a military one. It simple if the world does not take strong & firm action to deter Iran, it will lead to further escalations which could threaten world interests.
The world needs a peaceful resolution to this conflict as this war over oil between the KSA & Iran would collapse the global economy. Also, Iran is a country which is oil-rich & other mineral resources. But the recent trade embargo by the US on Iran has crippled its economy to unimaginable levels.
Its total economy depended on the Export of Oil and its main customers are the US & China. No trade between these nations has crippled its Forex reserves. Meanwhile, Saudi Arabia is the next preferred destination for Oil trade for these nations and Iran knows it. Hence it’s creating a situation to sabotage their oil fields using satellite Iranian backed rebels like the Houthis in Yemen.
Oil war in the gulf is escalating to new levels and such a situation could lead to an alarming crisis across the world. Hence the permanent solution should be to find newer & better avenues of Oil across the world which could create a parallel source to the existing oil reserves in the Gulf.
Some countries like Canada, Russia, Venezuela & Alaska(US) have vast reserves of Oil. Siberian region of Russia has the largest concentration of oil in the world after Saudi Arabia. And these countries are relatively safe & neutral in nature which could help to neutralize the conflict arising due to oil.
Hence its very certain, to ensure proper world order & future of the world, the following things must happen right earnest
- Political dialogues with Iran and finding a peaceful solution to the crisis.
- Neutralizing the terror forces like Hamas, Houthis etc by conducting pincer actions and if needed surgical strikes
- Finding alternate sources of oil across the world to create a contingency.
Hence oil war in the gulf is nothing but reality & the world must take notice of it and neutralize the situation before it leads to the apocalypse.
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Story Conceived & Written by Editorial Team Insourcing Multiplier