The latest Irish news from the Middle East points to a rapidly worsening security and energy situation. Houthi militants in Yemen have captured two strategically located Red Sea islands, raising fresh concerns about shipping through one of the world’s most important maritime chokepoints and the possibility of further pressure on global oil supplies.
Houthi advance increases pressure around Bab al-Mandab
The Iran-backed group has seized Greater Hanish and Lesser Hanish, islands positioned about 160 kilometres north of the Bab al-Mandab Strait. The narrow passage links the Red Sea with the Gulf of Aden and provides a vital route for commercial vessels travelling between Europe, Asia and the Middle East.
The captures follow the reported takeover of Mokha port and Perim island, giving the Houthis a stronger presence along Yemen’s Red Sea coastline. The advances have left Yemen’s Saudi-backed government attempting to recover lost territory while Saudi Arabia faces further security threats.
Saudi authorities have reportedly remained on high alert, with frequent air warnings following missile and drone attacks. Thirteen civilians were wounded in attacks on Monday, adding to fears that the conflict could spread beyond Yemen’s borders and disrupt regional trade.
Why the Red Sea developments matter for oil markets
The military gains have coincided with a serious disruption to Saudi Arabia’s east-west oil pipeline. The route allows crude to move from the Strait of Hormuz to the Red Sea export hub at Yanbu, helping Saudi Arabia reduce its dependence on shipping through vulnerable maritime passages.
Officials have indicated that repairs could take weeks. Rystad Energy estimated that between 2.6 million and 4 million barrels of oil per day had moved through the pipeline and Yanbu since late August. That supply is now considered at risk, increasing anxiety among traders and energy-importing countries.
- Longer pipeline disruption could reduce the volume of crude reaching global markets.
- Higher shipping risks may increase insurance and transport costs.
- Asian and African importers could face particular pressure because of their reliance on Middle Eastern oil.
- Rising fuel costs could add to inflation and household expenses worldwide.
Brent crude rose by 1 per cent to $106.92 a barrel in the latest reported trading session. The increase reflects concern that the market is already responding to a substantial loss of available supply. Analysts have also warned that Saudi Arabia’s inventory buffers may support exports only temporarily.
Oil reserves and market protection are being depleted
Earlier in the year, emergency stockpiles helped limit the immediate impact of supply disruptions. Governments released crude reserves, while the United States eased restrictions on oil held at sea by sanctioned countries. However, industry leaders now say many of those protective buffers have been used.
That leaves markets more exposed if attacks continue, the pipeline remains offline or shipping through Bab al-Mandab becomes increasingly difficult. Any combination of those factors could keep prices elevated for months rather than producing only a short-term spike.
Humanitarian consequences in Yemen
The territorial gains have also intensified an already severe humanitarian crisis. Nearly 94,000 people have reportedly fled their homes since fighting between Houthi and government forces escalated this month, according to the International Organization for Migration.
About 200 schools in south-western Yemen have been converted into shelters for displaced families. More than 2,000 people have crossed the sea to Djibouti, where the Houthi advance has brought the conflict closer to a US military base situated across the strait.
The displacement figures underline that the crisis is not limited to oil prices or shipping schedules. Continued fighting threatens homes, education, aid delivery and regional stability, while civilians face growing uncertainty on both sides of the Red Sea.
What happens next?
The Houthis have stated that they do not intend to stop all commercial shipping in the Red Sea, saying their focus is on vessels linked to Saudi Arabia. Nevertheless, the uncertainty surrounding their military expansion could encourage more ships to avoid the route, creating delays and increasing the cost of transporting goods.
Governments and energy companies will be watching three developments closely:
- Whether Saudi Arabia can restore its east-west pipeline within the expected timeframe.
- Whether Houthi attacks continue or expand to additional maritime targets.
- Whether diplomatic or military action can prevent further territorial gains in western Yemen.
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Frequently asked questions
What islands have the Houthis captured?
The Houthis have captured Greater Hanish and Lesser Hanish in the Red Sea, following reported gains at Mokha port and Perim island.
Why is Bab al-Mandab important?
Bab al-Mandab connects the Red Sea with the Gulf of Aden and is a major route for commercial shipping between Europe, Asia and the Middle East.
Could the developments increase oil prices?
Yes. Pipeline disruption, shipping risks and reduced emergency stockpiles could restrict supply and maintain upward pressure on crude and fuel prices.
How has the conflict affected civilians?
Nearly 94,000 people have reportedly been displaced within Yemen since fighting intensified, while more than 2,000 people have fled by sea to Djibouti.
The Houthi seizure of strategic Red Sea islands has created a dangerous overlap between military escalation, humanitarian suffering and energy insecurity. For markets and governments, the central concern is whether the disruption remains contained or develops into a prolonged crisis affecting oil supplies, shipping and consumers worldwide.
Image Courtesy: AFP via Getty Images
