The Ras Tanura oil refinery in Saudi Arabia was damaged on October 27, 2023 (Aban 5, 1405) following a missile attack by Yemeni armed forces, leading to a suspension of its operations. This refinery, with a daily processing capacity of 550,000 barrels, is considered one of the largest and most strategic oil refineries in Saudi Arabia.
Details of the Attack and Its Consequences
Reports indicate that the attack has damaged one of the main units of the refinery, causing its operations to be halted for at least 15 days. This damage could increase pressure on Saudi Arabia's refining capacity and pose serious challenges to the country's petroleum product supply equations.
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Crude oil loading operations at the Ras Tanura export terminal, located adjacent to this refinery, have not been affected by this incident. Thus, while disruptions in the refining sector may limit the production of petroleum products, crude oil exports from this terminal will continue.
Economic and Security Implications
This incident, along with other recent attacks on Saudi oil facilities, has heightened concerns about the security of global oil supply. According to reports, following the attack on the Ras Tanura refinery, Brent crude prices rose by about one percent the next day, reaching $115.32 per barrel. Disruptions at refineries could limit the supply of gasoline, diesel, and jet fuel, which may also affect fuel prices in Saudi Arabia and global markets.
Satellite images recorded on October 28 also indicate the occurrence of a fire and damage to the facilities of this refinery. The damaged section has been identified as one of the main units for processing crude oil, and disruptions in its operation could complicate the process of converting crude oil into petroleum products.
As a result, this attack may force Saudi Arabia to allocate some of the crude oil previously intended for the refinery's feedstock to export markets. Given that the Ras Tanura refinery is one of the most important strategic assets of Aramco, this incident could have wide-ranging implications for Saudi Arabia's oil industry.
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