Fuel crisis: Major UAE oil refinery shut after drone attack; global energy body calls 'emergency meeting'

One of the world’s largest oil refineries in the United Arab Emirates has been shut down as a precaution after a drone attack near the facility, as the Middle East conflict continues to disrupt global energy supplies.

“One of the world’s largest oil refineries in the United Arab Emirates has been shut down as a precaution after a drone attack near the facility, as the Middle East conflict continues to disrupt global energy supplies”

The Times of India

A source cited by news agency AFP said that the massive Ruwais Refinery had halted operations “out of precaution” following the attack near the industrial complex in Abu Dhabi.

The Times of India

Earlier, the Abu Dhabi Media Office said a drone strike caused a fire in the Ruwais Industrial City area, though officials did not confirm whether the refinery itself had been directly hit.

A driver working at the industrial complex told AFP that workers were being evacuated when fresh explosions were heard and said, “Just as we were about to leave, we saw two more bursts of fire rising from the complex, with loud sounds like explosions.”

The shutdown adds to a pattern of attacks and disruptions across Gulf energy infrastructure.

Iran has been accused of targeting energy facilities across the Gulf as it attempts to tighten control over the strategic waterway.

The Times of India

Iranian attacks have targeted Saudi oil infrastructure, including the massive Ras Tanura Refinery complex, forcing some operations to halt.

Iranian attacks have also forced QatarEnergy to halt production temporarily and declare force majeure on some exports, while energy producers in Kuwait have issued similar warnings.

Global oil producers and analysts warn the disruptions could have wide economic consequences.

“One of the world’s largest oil refineries in the United Arab Emirates has been shut down as a precaution after a drone attack near the facility, as the Middle East conflict continues to disrupt global energy supplies”

The Times of India

Saudi Aramco chief executive Amin H. Nasser warned the conflict could have “catastrophic consequences” for global energy markets and said, “The disruption has caused a severe chain reaction in not only shipping and insurance but there's also a drastic domino effect on aviation, agriculture, automotive and other industries.”

Nasser also called for the reopening of the Strait of Hormuz, a key maritime corridor that normally carries about 20 percent of the world’s oil supplies but has been severely disrupted by the conflict.

Robert Mogielnicki, a non-resident scholar at the Arab Gulf States Institute, said, “The Gulf energy sector is getting whacked from multiple angles,” adding that facilities are being targeted, exports through the strait are hampered, and storage capacity is filling up.

International bodies and governments are moving to assess and respond to mounting supply risks.

The International Energy Agency has called an extraordinary meeting of its member governments to review the global supply situation, and IEA executive director Fatih Birol said the meeting would assess market conditions and consider releasing emergency oil reserves if necessary.

The Times of India

“In oil markets, conditions have deteriorated in recent days,” Birol said, adding that curtailed production and transit challenges were creating growing risks for the market.

Oil prices surged nearly 30 percent earlier this week amid fears of supply disruptions before falling again after US President Donald Trump suggested the war could end soon, and officials from the Group of Seven have begun discussing whether strategic oil reserves should be released; French President Emmanuel Macron said the G7 would continue consultations this week on possible emergency measures to deal with the mounting energy crisis.