Energy sector hit by Houthi airstrikes disrupting Red Sea trade By Reuters
© Reuters. FILE PHOTO: A missile was fired from a warship during an operation by the US-led coalition against military targets in Yemen, targeting Iranian-backed Houthi militiamen who have been targeting international shipping in the Red Sea from an undisclosed location.
2/2
By Andrew Mills and Robert Harvey
DOHA/LONDON (Reuters) – Qatar halted shipments of liquefied natural gas (LNG) through the Red Sea and six tankers were diverted as the disruption of the vital trade route extended to the energy sector following U.S.-led airstrikes against Houthi rebels.
Yemen’s Houthi rebels, who claim solidarity with Palestine, have been carrying out attacks on ships since last October, damaging commerce, and the war against Israel and Hamas militants in the Gaza Strip has expanded regionally for more than three months, putting major powers at risk. I was surprised.
In the latest possible attack, Britain said a ship was hit by a missile on Monday 95 nautical miles southeast of Yemen’s port of Aden.
In response to the instability, Qatar Energy, the world’s second-largest LNG exporter, has now blocked at least four gas tankers in the Red Sea, a senior source said.
Tracking data showed at least six more tankers sailed on Monday, bringing the total to 15 since Western attacks in Yemen last week. Before that, most container ships avoided the area due to the aftermath of the Gaza War.
The Houthis have been fighting a Saudi-led coalition in Yemen for years, but have turned to the sea to put pressure on Israel since the start of the Gaza war.
In the latest Western military operation in the region, the United States said late Sunday its warplanes shot down an anti-ship cruise missile fired by militants at a U.S. destroyer. No injuries or damage were reported, according to X.
Supplies Affected
With some supply lines affected by instability, carmaker Suzuki said production at its plant in Esztergom, Hungary, would be halted from January 15 to 21 as the Red Sea attack delayed the arrival of Japanese engines.
The Houthis have vowed to continue targeting vessels linked to Israel and to respond decisively to attacks against them.
Britain, a US ally, said it did not want to get involved in the Red Sea conflict but was committed to protecting free navigation. “We’ll see what happens,” Defense Secretary Grant Shapps told Sky News about the possibility of further attacks.
China is also concerned about the impact on key commercial interests along the Suez Canal.
According to LSEG ship tracking data, Qatar’s Al Ghariya, Al Huwaila, and Al Nuaman vessels loaded LNG at Ras Laffan and headed to the Suez Canal. Anchored in Oman on January 14th. Al Rekayyat, which was returning to Qatar, stopped. January 13, along the route in the Red Sea.
“We are stopping briefly to get security advice,” a source told Qatar Energy on Monday. “If it is still not safe to transit through the Red Sea, we will transit through the Cape.”
The longer route around the Cape of Good Hope in Africa, chosen by various shipping companies, can add about nine days to a European trip that normally takes 18 days.
The Qatari government and QatarEnergy did not immediately respond to requests for comment.
The Red Sea is connected to the Mediterranean Sea through the Suez Canal, forming the shortest shipping route between Europe and Asia, and to the Gulf of Aden through the Bab al-Mandab Strait between Yemen and Djibouti.
About 12% of world shipping passes through the canal.
The latest European benchmark gas price at the Dutch TTF hub was down 1.94 euros to 29.66 euros per megawatt hour (MWh) in afternoon trading on Monday, LSEG data showed.
Asian spot LNG prices fell to $10.10 per million British thermal units (mmBtu) on Friday, their lowest in seven months, helped by healthy storage levels in Europe and Northeast Asia. (LNG/)
Oil prices fell more than 1% on Monday as the Middle East conflict limited the impact on crude output after the crude oil benchmark rose 2% last week. (or)
