As oil soars, experts watch Red Sea tankers for clarity on Houthi blockade
Oil prices surged to $100.65 per barrel as Yemen's Houthis intensified a naval blockade in the Red Sea, attacking Saudi tankers and declaring they would target vessels linked to Saudi Arabia, Israel, and the United States. Analysts indicate the blockade is determining which operators can move crude rather than halting flows entirely, with Chinese-owned tankers receiving preferential passage.
Crude oil benchmarks climbed sharply on Thursday, with Brent futures rising nearly 7 percent to exceed $100 per barrel for the first time since May. The price movement followed escalating maritime tensions in the Red Sea, where Yemen's Iran-aligned Houthis declared a naval blockade targeting Saudi Arabian crude shipments and announced they would interdict vessels flagged to Saudi Arabia, Israel, and the United States in the Bab el-Mandeb strait.
The Houthis' actions represent a response to Iran's closure of the Strait of Hormuz, which the country said was retaliation for attacks by the United States and Israel. On Thursday alone, the group claimed responsibility for attacking two Saudi oil tankers, with one confirmed ablaze by Saudi authorities. The second vessel's status remained unclear according to marine analysis firm Windward.
Maritime intelligence specialists note that the blockade's enforcement appears selective rather than absolute. Michelle Bockmann, a senior analyst at Windward, observed that Chinese-owned tankers have been permitted passage through the chokepoint, including two vessels loaded with Saudi crude that transited on July 20. This pattern reflects the Houthis' historical reliance on Chinese support for components and materials, granting Beijing's shipping interests what analysts describe as a "free pass" through contested waters.
The distinction matters for global energy markets. Windward's tracking indicates that while Western and Saudi-linked operators face warnings to avoid the corridor, the blockade is calibrated to restrict movement by certain affiliations rather than to halt Saudi crude exports entirely. Rachel Ziemba of the Center for a New American Security emphasized that the Red Sea standoff coincides with depleted crude buffers following earlier disruptions at the Strait of Hormuz, amplifying market sensitivity to any further supply constraints. Analysts suggest the Houthis understand that even modest disruptions can trigger significant price reactions across global oil markets.
Bell tracks these organizations in depth — profiles, people, signals, and history. See them inside Bell →
Live signals across the sector that powers the Gulf.