The Secret Houthi-U.S. Deal That Could Push Saudi Arabia Back to Beijing
Back at the start of the U.S.’s ‘Operation Epic Fury’, OilPrice.com predicted three courses of action that Iran would take as it moved through the conflict escalation gears. First, most obviously, although apparently not to President Donald Trump’s team, was to close the Strait of Hormuz to cause oil, liquefied natural gas (LNG) and refined products prices to soar -- check. Second, was to launch…
The recent actions of the Iranian-backed Yemeni Houthis have raised concerns about a potential secret arrangement between the Houthis and the United States. According to a senior energy source familiar with Iran's Petroleum Ministry, the Houthis are expected to officially block the Bab el-Mandeb Strait, which would control up to 42% of the world's crude oil flows and 30% of its LNG flows.
This move would not only increase energy prices and regional insecurity but also put pressure on U.S. allies in the Middle East. The Houthis' recent seizure of key islands in the Red Sea has given Iran greater leverage over the Red Sea/Suez Canal transit route, further intensifying the situation. Despite Trump's refusal to authorize direct U.S. air strikes against the Houthi advance, the U.S. has been in contact with Houthi leaders, reportedly refusing to help militarily while maintaining diplomatic negotiations.
The Saudi Arabian government now appears to be on its own, with the U.S. seemingly unable or unwilling to provide military assistance.
Written by urgent.news from OilPrice's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
