Saudi Arabia is telling Trump to back off the blockade before Iran shuts down the only route keeping Gulf oil flowing...
Saudi Arabia is telling Trump to back off the blockade before Iran shuts down the only route keeping Gulf oil flowing...
Saudi Arabia is reportedly privately pressing Washington to drop the Hormuz blockade and return to negotiations.
The reason is simple: if Iran retaliates by activating the Houthis to close Bab el-Mandeb, Saudi Arabia loses its last remaining export route.
After the war closed Hormuz, Saudi Arabia pivoted its oil exports to Yanbu on the Red Sea, restoring output to its pre-war level of seven million barrels per day.
Iran's foreign policy adviser publicly warned that Tehran views Bab el-Mandeb "just as it looks at Hormuz" and can disrupt it "with a single signal."
Saudi energy officials told the WSJ they secured commitments from the Houthis not to attack Saudi ships through Bab el-Mandeb.
But Riyadh warned Washington the situation is "fluid" and the Houthis could escalate if pushed further by Iran.
The U.S. blockade is designed to choke Iran's revenue.
But Iran can respond by choking Saudi Arabia's revenue through its Yemeni proxy.
Both chokepoints closed simultaneously means the entire Gulf's oil output has no route to market.
Global energy markets collapse.
Source: WSJ
posted by Satish Sharma at
14:12
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