Saudi Arabia has temporarily suspended operations on its major East-West oil pipeline after a drone strike targeted the crucial energy route, officials said, as escalating fighting between the United States and Iran threatens oil shipments across the Middle East.

The strike was reportedly launched from Iraq, according to officials in Baghdad and Riyadh. Iraq subsequently removed a military commander from his post in an area where Iran-backed armed groups operate.

The approximately 1,200-kilometre pipeline stretches across the Arabian Peninsula and provides Saudi Arabia with an alternative route for exporting crude without depending entirely on tanker traffic through the Strait of Hormuz.

The waterway has faced significant disruption amid the US-Iran conflict, with tanker movements falling sharply as shipping companies confront increasing security risks.

Saudi Arabia’s Energy Ministry said the decision to suspend the pipeline was taken as a precautionary measure following the attack.

The East-West route has recently transported an estimated 4 million to 5 million barrels of crude per day, according to shipping trackers and energy analysts. That represents roughly 4% to 5% of global oil production, making any prolonged disruption potentially significant for international energy markets.

The latest incident comes as Iran-aligned Houthi forces in Yemen continue to put pressure on shipping routes in and around the Red Sea.

Concerns over supply disruptions have already pushed international crude prices above $100 a barrel, increasing pressure on a global energy market facing heightened geopolitical uncertainty.

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The temporary shutdown of the Saudi pipeline adds another risk to an energy system already exposed to disruptions at major maritime chokepoints.

Markets will now closely monitor whether the pipeline resumes operations quickly or whether further attacks threaten Saudi Arabia’s ability to move crude through alternative routes.

The developments could have wider consequences for oil prices, shipping costs and global fuel markets if disruptions persist or spread to other critical energy infrastructure.