Photo: EPA
Iranian attacks across the Persian Gulf have dealt a major blow to the region’s critical energy infrastructure. Shipping through the Strait of Hormuz — the strategic chokepoint that carries about 20% of the world’s oil supply — has effectively stalled. The world’s largest liquefied natural gas plant in Qatar has halted operations, while Saudi Arabia’s biggest oil refinery has caught fire, Bloomberg reports.
LNG plant in Qatar
Iranian drones struck an energy facility in Ras Laffan, the world’s largest LNG production hub. QatarEnergy suspended LNG output equivalent to roughly one-fifth of global supply. Markets reacted immediately, with gas prices in Europe jumping by more than 50%.
Ras Tanura refinery, Saudi Arabia
Saudi Aramco’s Ras Tanura refinery — one of the largest in the world with a capacity of 550,000 barrels per day — stopped operations after a “limited” fire caused by debris from two intercepted drones. Diesel prices in London surged to four-year highs.
Fujairah oil terminal, UAE
VTTI suspended operations at its Fujairah terminal, one of the Middle East’s major oil storage and trading hubs, citing “hostile activity in the region.” The facility is partly owned by oil trader Vitol and the UAE’s national oil company ADNOC. Operations are expected to resume once the situation stabilizes.
Power and desalination plant in Kuwait
Debris from an intercepted drone sparked a fire at Kuwait’s West Doha desalination and power station, which supplies both electricity and fresh water. A fuel tank was damaged, and further assessments are ongoing.
Attacks on vessels
Three ships — Skylight, MKD Vyom, and Hercules Star — were attacked near the entrance to the Persian Gulf. One crew member of MKD Vyom was killed. A tanker supplying fuel for the U.S. military was also damaged, killing one shipyard worker and injuring two others. Maritime traffic in the Gulf has largely halted.
Additional damage has been reported across the region, including a fire at Dubai’s Jebel Ali port after missile debris fell on a dock, and a strike that disrupted an Amazon data center in the UAE, temporarily affecting services.
A difficult choice for Gulf states
Gulf countries now face a difficult dilemma. Iran has struck not only strategic infrastructure but also symbolic sites, including Dubai International Airport and the Palm Jumeirah. Saudi Arabia and the UAE condemned Tehran but appear reluctant to escalate militarily. According to sources cited by Bloomberg, the UAE and Qatar are privately lobbying allies to push U.S. President Donald Trump toward a diplomatic solution.
The large-scale drone and missile campaign began after U.S. and Israeli strikes on Iranian territory. Since Saturday, the UAE says Iran has launched 174 ballistic missiles, eight cruise missiles, and about 700 drones toward the country, most of which were intercepted.
Despite the escalation, Qatari officials say diplomacy remains the ultimate goal, arguing that the conflict will likely end at the negotiating table.