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Ras Tanura refinery

World

Saudi Oil Refinery Hit: Middle East Oil Supply Threatened, Prices Rise

by Lucas Fernandez – World Editor March 2, 2026
written by Lucas Fernandez – World Editor

Saudi Arabia halted operations at its largest oil refinery, Ras Tanura, on Monday following a drone attack, as escalating tensions across the Middle East prompted precautionary shutdowns of critical energy infrastructure in multiple countries and drove crude oil prices higher.

Saudi Aramco, the state-owned oil giant, confirmed the suspension of operations at the 550,000 barrel-per-day refinery after intercepting two drones targeting the facility. A limited fire broke out due to debris from the intercepted drones, but the Saudi defense ministry reported no injuries, according to Al Arabiya television. An energy ministry official, cited by the Saudi Press Agency (SPA), stated that some refinery units were temporarily shut down as a precaution, but assured the public that domestic fuel and petroleum product supplies would not be affected.

Ras Tanura is a key component of a major energy complex on the Gulf coast and is directly connected to one of the kingdom’s primary crude export terminals. The attack comes amid a broader pattern of strikes and disruptions following recent Israeli and U.S. Strikes on Iranian targets and subsequent Iranian retaliation.

The disruptions extended beyond Saudi Arabia. In Iraqi Kurdistan, companies including DNO, Gulf Keystone Petroleum, Dana Gas, and HKN Energy suspended output, impacting the region’s exports of approximately 200,000 barrels per day via pipeline to Turkey’s Ceyhan port in February. Chevron likewise shut down the Leviathan gas field offshore Israel on Saturday, while Energean halted production at its floating vessel serving smaller fields, curtailing gas exports to Egypt.

Shipping activity through the Strait of Hormuz, a vital waterway for global oil transport carrying roughly a fifth of the world’s oil consumption, slowed significantly following reported attacks on vessels in the area. Brent crude oil prices responded to the increased instability, rising around 10% to surpass $82 a barrel.

Saudi Arabia’s foreign ministry formally summoned Iran’s ambassador to the kingdom, Alireza Enayati, on Sunday to protest what it described as Iranian-backed attacks targeting Saudi Arabia and neighboring states, according to SPA. Deputy Foreign Minister Waleed Elkhereiji conveyed the kingdom’s strong condemnation of the attacks and warned against further violations of sovereignty, stating that Riyadh would take “all necessary measures” to defend its security and territory.

Sources indicate that Saudi officials have urged Gulf Cooperation Council (GCC) allies to avoid actions that could further escalate tensions with Iran, as regional governments seek to prevent a wider conflict.

March 2, 2026 0 comments
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