Oil prices rose on Friday as fresh Houthi attacks on Saudi Arabia and uncertainty surrounding US-Iran negotiations heightened fears of supply disruptions, putting Brent and US crude on track for a fourth consecutive monthly gain.
Brent crude futures increased by 86 cents, or 0.75%, to $115.74 a barrel, while US West Texas Intermediate (WTI) crude gained 72 cents, or 0.71%, to $102.72 as of 0122 GMT.
Brent was on course to finish October nearly 14% higher, while WTI was heading for a monthly gain of around 15%. The US benchmark was also approaching its first monthly close above $100 a barrel since April.
Houthi Attacks on Saudi Energy Facilities Raise Concerns
The latest gains followed claims by Yemen’s Iran-aligned Houthis on Thursday that they had attacked several locations in Saudi Arabia, including the Ras Tanura and Rabigh refineries and an Aramco facility in Abqaiq.
Government Keeps Petrol Price Unchanged, Raises Diesel by 85 Paisa
Separately, a Saudi-led coalition said it had intercepted a cruise missile launched by the Houthis towards the kingdom’s western region.
The reported attacks have increased concerns about the security of regional energy infrastructure and the potential impact on oil supplies.
US-Iran Negotiations Remain Uncertain
Market concerns have also intensified amid uncertainty over diplomatic efforts between Washington and Tehran.
US President Donald Trump said on Thursday that Vice President JD Vance had contacted Iran regarding the provision of medical supplies.
His remarks followed media reports that Vance had sent a letter to a senior Iranian security official in an effort to revive peace negotiations.
Iran has received the letter but has not yet responded, according to the semi-official Tasnim news agency. Tehran said Washington must meet its conditions and warned that any position outside its proposed framework would be unacceptable.
Iran Claims Tankers Hit Sea Mines Near Hormuz
Iran’s Revolutionary Guards claimed that three tankers had struck sea mines, exploded and caught fire while attempting to use what they described as an unauthorised route south of the Strait of Hormuz.
The claim has not been independently verified.
“Continued kinetic action around the Strait of Hormuz amidst doubts of a viable diplomatic pathway are keeping oil prices elevated in expectation of an escalation of the conflict in coming weeks,” said Saul Kavonic, head of energy research at MST Marquee.
Energy Companies Reconsider Regional Participation
The security situation has also affected plans within the energy industry.
ExxonMobil and Chevron have cancelled plans to send executives to the United Arab Emirates’ largest oil show next week, two sources familiar with the matter told Reuters.
The decision reflects growing uncertainty surrounding regional security as tensions continue to affect energy-sector activities.
Strait of Hormuz Remains Critical to Global Oil Supplies
The Strait of Hormuz is one of the world’s most important energy shipping routes. Any disruption to maritime traffic through the waterway could threaten global oil supplies and push prices higher.
With diplomatic efforts uncertain and regional security concerns persisting, oil markets remain sensitive to developments around the Persian Gulf.
