Abqaiq–Khurais Attack
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On 14 September 2019, drones were used to attack oil processing facilities at Abqaiq ( ar, بقيق, translit=Buqaiq) and Khurais () in eastern
Saudi Arabia Saudi Arabia, officially the Kingdom of Saudi Arabia (KSA), is a country in Western Asia. It covers the bulk of the Arabian Peninsula, and has a land area of about , making it the fifth-largest country in Asia, the second-largest in the A ...
. The facilities were operated by Saudi Aramco, the country's state-owned oil company. The
Houthi movement The Houthi movement (; ar, ٱلْحُوثِيُّون ''al-Ḥūthīyūn'' ), officially called Ansar Allah (' ''Partisans of God'' or ''Supporters of God'') and colloquially simply Houthis, is an Islamist political and armed movement that ...
in
Yemen Yemen (; ar, ٱلْيَمَن, al-Yaman), officially the Republic of Yemen,, ) is a country in Western Asia. It is situated on the southern end of the Arabian Peninsula, and borders Saudi Arabia to the Saudi Arabia–Yemen border, north and ...
claimed responsibility, tying it to events surrounding the Saudi Arabian–led intervention in the Yemeni Civil War and stating they used ten drones in the attack launched from Yemen, south of the facilities. Saudi Arabian officials said that many more drones and
cruise missiles A cruise missile is a guided missile used against terrestrial or naval targets that remains in the atmosphere and flies the major portion of its flight path at approximately constant speed. Cruise missiles are designed to deliver a large warhe ...
were used for the attack and originated from the north and east, and that they were of Iranian manufacture. The United States and Saudi Arabia have stated that
Iran Iran, officially the Islamic Republic of Iran, and also called Persia, is a country located in Western Asia. It is bordered by Iraq and Turkey to the west, by Azerbaijan and Armenia to the northwest, by the Caspian Sea and Turkmeni ...
was behind the attack while France, Germany, and the United Kingdom jointly stated Iran bears responsibility for it. Iran has denied any involvement. The situation exacerbated the 2019 Persian Gulf crisis. The attack caused large fires at the processing facility, which were put out several hours later, according to Saudi Arabia's
Ministry of Interior An interior ministry (sometimes called a ministry of internal affairs or ministry of home affairs) is a government department that is responsible for internal affairs. Lists of current ministries of internal affairs Named "ministry" * Ministry ...
. Both facilities were shut down for repairs, cutting Saudi Arabia's oil production by about half – representing about five percent of global oil production – and causing some destabilization of global financial markets. The
Ministry of Energy A Ministry of Energy or Department of Energy is a government department in some countries that typically oversees the production of fuel and electricity; in the United States, however, it manages nuclear weapons development and conducts energy-rel ...
said that the country would tap into its oil reserves to maintain export levels until the facilities return to full capacity by the end of September.


Background

Saudi Arabia is the world's largest oil exporter, having produced about 12 million
barrels A barrel or cask is a hollow cylindrical container with a bulging center, longer than it is wide. They are traditionally made of wooden staves and bound by wooden or metal hoops. The word vat is often used for large containers for liquids, u ...
of petroleum products per day in 2017. Its proven
oil reserves An oil is any nonpolar chemical substance that is composed primarily of hydrocarbons and is hydrophobic (does not mix with water) & lipophilic (mixes with other oils). Oils are usually flammable and surface active. Most oils are unsaturate ...
are the second-largest of any country, after
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, and represent about 16% of the world's total. Saudi Aramco, a
national oil company A national oil company (NOC) is an oil and gas company fully or in the majority-owned by a national government. According to the World Bank, NOCs accounted for 75% global oil production and controlled 90% of proven oil reserves in 2010. Due to thei ...
owned by the
Saudi Arabian government The politics of Saudi Arabia takes place in the context of a unitary absolute monarchy along Islamic lines, where the King is both the head of state and government. Decisions are, to a large extent, made on the basis of consultation among the Ki ...
, operates several oil drilling, transport, and production facilities across Saudi Arabia. It is the second-largest oil producer in the world, behind Russia's Rosneft. Aramco says the Abqaiq facility is "the largest crude oil stabilization plant in the world"; it converts
sour crude Sour crude oil is crude oil containing a high amount of the impurity sulfur. It is common to find crude oil containing some impurities. When the total sulfur level in the oil is more than 0.5% (by weight), the oil is called "sour". The impurities ...
into
sweet crude oil Sweet crude oil is a type of petroleum. The New York Mercantile Exchange designates petroleum with less than 0.5% sulfur as ''sweet''. Petroleum containing higher levels of sulfur is called sour crude oil. Sweet crude oil contains small amounts o ...
by removing sulfur impurities before it is transported to downstream refineries, processing more than 7 million barrels of oil per day, about 7% of global oil production. Bob McNally, a former member of the United States' National Economic Council and National Security Council, told
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that "a successful attack on Abqaiq would be akin to a massive heart attack for the oil market and global economy". The Abqaiq facility had been the site of a failed suicide bombing by Al-Qaeda in 2006. The Khurais oil field, also operated by Aramco, produces about 1.5 million barrels of crude a day, and is estimated to hold up to 20 billion barrels of oil. The Abqaiq oil facility was protected by three Skyguard short-range air defense batteries. Neither the Skyguards nor the other Saudi air-defense weapons — MIM-104 Patriot and Shahine (Crotale) — are known to have brought down any of the attacking weapons. A
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report offered multiple potential explanations, including that Patriot is optimized for interceping "high-altitude ballistic missiles" and that the Saudi troops operating the defenses "have 'low readiness, low competence, and are largely inattentive.'" ''
The Guardian ''The Guardian'' is a British daily newspaper. It was founded in 1821 as ''The Manchester Guardian'', and changed its name in 1959. Along with its sister papers ''The Observer'' and ''The Guardian Weekly'', ''The Guardian'' is part of the Gu ...
'' newspaper wrote that the defenses "would likely have been pointed across the Gulf towards Iran and south towards Yemen, but at least some of the missiles and drones are believed to have struck from the west." On 26 September 2019 Defense News published remarks by the Israeli air and missile defense expert Uzi Rubin, in which he characterized the Abqaiq–Khurais attack as "a kind of 'Pearl Harbor,'” saying "it will spark a lot of solutions” to the tactic of using unmanned aerial vehicle swarms plus low-altitude, high-speed cruise missiles.


Attacks

At around 4:00 a.m.
Saudi Arabia Standard Time Saudi Arabia Standard Time ( ar, التوقيت القياسي السعودي, At-Tawqīt al-qiyāsiyy as-suʿūdiyy), abbreviated as SAST, is the standard time zone of Saudi Arabia. The time zone is 3 hours ahead of UTC ( UTC+03:00) with no dayl ...
(
UTC+3 UTC+03:00 is an identifier for a time offset from UTC of +03:00. In areas using this time offset, the time is three hours later than the Coordinated Universal Time (UTC). Following the ISO 8601 standard, a time with this offset would be wri ...
), Saudi Aramco reported fires at its Abqaiq facility as well as its Khurais facility. These facilities are several hundred kilometres distant from each other. At the time, about 200 people were in the Khurais facility, according to Aramco officials. The fires were contained a few hours later, according to officials. Though no fatalities were reported in the incidents, it was left unclear whether anyone was injured in the attacks. Saudi Arabia's interior ministry said a few hours later that the fires were "a result of ... drones". Several
unmanned aerial vehicle An unmanned aerial vehicle (UAV), commonly known as a drone, is an aircraft without any human pilot, crew, or passengers on board. UAVs are a component of an unmanned aircraft system (UAS), which includes adding a ground-based controll ...
s (UAVs or drones) were reported to be involved. A spokesman for the Saudi-led coalition fighting Iranian-backed rebels in Yemen, stated that 25 drones and missiles were used. Guards at the facilities reportedly tried to bring down the drones with machine gun fire, as captured on surveillance recordings of the facilities. According to Aramco, the drone strikes were in at least two waves; as they were evacuating the Khurais facility and dealing with fires from the first attack, another round of drones struck the facility. Analysis of satellite images of the Abqaiq facility before and after the attacks appear to show 19 individual strikes: 14 that punctured storage tanks, three that disabled oil processing trains, and two more that damaged no equipment. A US interim report found that the attacks originated from the north. According to the NCRI, the attack came from the Omidiyeh military base in
Ahvaz Ahvaz ( fa, اهواز, Ahvâz ) is a city in the southwest of Iran and the capital of Khuzestan province. Ahvaz's population is about 1,300,000 and its built-up area with the nearby town of Sheybani is home to 1,136,989 inhabitants. It is hom ...
.


UAV defense

Saudi Arabia's missile defense system failed to stop the swarm of drones and cruise missiles that struck the oil infrastructure. It is reported that Saudi Arabia has at least one MIM-104 Patriot missile defense system in place at Abqaiq. The missile defense system used was designed to mitigate threats from "high flying targets."
Unmanned aerial vehicle An unmanned aerial vehicle (UAV), commonly known as a drone, is an aircraft without any human pilot, crew, or passengers on board. UAVs are a component of an unmanned aircraft system (UAS), which includes adding a ground-based controll ...
s and cruise missiles fly at an altitude too low to be detected by conventional radar systems. A swarm of drones and cruise missiles coming from multiple directions can confuse and jam radar, as well as overwhelm air defenses. In addition to the Patriot system, at least four shorter-range defense systems were present, yet also failed to detect and mitigate the drone attack. Drones are too difficult to detect by traditional methods; drones are also cheap and extremely accessible. The drones used may have cost around $15,000 or less to build. According to Justin Bronk, research fellow at the Royal United Services Institute in London, "the cost curve is very favorable to the attacker, meaning Saudi Arabia would have to spend far more than its enemies to protect against additional strike capabilities. As such, there is almost no way the Kingdom can completely defend against such attacks."


Attackers

In an initial report on 14 September 2019, the Saudi Arabian interior ministry did not identify the source of the attack, but stated they had begun an investigation. A statement from the French Foreign Minister in the early stages after the attack came on 17 September 2019, when he said "“The Houthis ... announced that they launched this attack. That lacks credibility,” but he went on to reference an ongoing international investigation, saying "let’s wait for its results." Hours after the attack, the Houthis said in a statement that they sent ten newly developed drones equipped with propeller and turbojet engines to disable the oil production facilities, and vowed to send more against a wider range of Saudi targets. They said they attacked in retaliation for the Saudi Arabian-led intervention in Yemen, which began in 2015, has killed thousands of Yemeni civilians, and has created a
famine A famine is a widespread scarcity of food, caused by several factors including war, natural disasters, crop failure, population imbalance, widespread poverty, an economic catastrophe or government policies. This phenomenon is usually accompani ...
and a humanitarian crisis described in 2019 as the worst in the world. A military spokesman for the Houthis said, "These attacks are our right, and we promise the Saudi regime that the next operation will be wider and more painful if blockade and aggression continues". In the weeks before the Abqaiq–Khurais attack, similar drone strikes on Saudi Arabian oil production infrastructure had caused no significant damage. The frequency of Houthi attacks increased throughout 2019, with the targets including a Saudi airport. The military spokesman said that the Sept. 14 attacks came after a "careful intelligence operation, prior monitoring and cooperation from honorable and freedom-seeking people within the kingdom". The use of operatives inside Saudi Arabia would appear to address some of the technical objections about how the Houthis could have struck targets at such a distance. On 16 September, the Houthis warned of more attacks on Saudi Arabia's oil infrastructure, and warned foreigners to leave Saudi oil plants. They had displayed some of their long-range UAVs to the media in July 2019. The range of the drones reportedly can reach distant areas in Saudi Arabia and the
United Arab Emirates The United Arab Emirates (UAE; ar, اَلْإِمَارَات الْعَرَبِيَة الْمُتَحِدَة ), or simply the Emirates ( ar, الِْإمَارَات ), is a country in Western Asia ( The Middle East). It is located at t ...
. The Houthis had often used ''Samad 1'' to attack Saudi Arabia. Later, the Houthis used the '' Quds 1'', which is a small ground launched cruise missile that was possibly used in the 12 June 2019 Abha International Airport attack, which occurred in southwestern Saudi Arabia. A Houthi leader, Mohammed al-Bukhaiti, said that they have "exploited vulnerabilities in the Saudi defense system" and they "built their drones in order to avoid these systems, therefore, the Saudi and the Emirati airspace became open to us after their defense system failed to even spot our drones". Houthi rebels have previously advocated targeting Aramco. The Rapidan Energy Group and the Center for Strategic and International Studies had both warned that the site of the attack was a vulnerable target. At a press conference on 18 September, Houthi military spokesman Yahya Sarea said that they had launched a serious attack and Americans were using fabricated satellite images in an attempt to portray the resulting damage as having been minimal. He presented aerial photos of the Abqaiq and Khurais facilities, from before the attack, and said that they had been taken by Yemeni drones. He said that the Houthis had launched the attack from three locations. Third-generation Qasif drones were launched from one position, Samad-3 drones from a second position, and from a third position they had launched newly developed drones which use cluster heads, capable of dropping four accurate, independently targeted bombs. He said that they would soon display these newly developed drones. He stated that they were now capable of manufacturing drones rapidly. Yahya Sarea threatened the United Arab Emirates which is part of the Saudi-led coalition, saying that they have a list of targets inside the UAE among them
Dubai Dubai (, ; ar, دبي, translit=Dubayy, , ) is the most populous city in the United Arab Emirates (UAE) and the capital of the Emirate of Dubai, the most populated of the 7 emirates of the United Arab Emirates.The Government and Politics of ...
and Abu Dhabi. He said if the UAE "wants peace to its buildings which are made of glass and can't handle an attack by the Yemeni drones then leave Yemen alone". In response, UAE officials told ''
The Telegraph ''The Telegraph'', ''Daily Telegraph'', ''Sunday Telegraph'' and other variant names are popular names for newspapers. Newspapers with these titles include: Australia * ''The Telegraph'' (Adelaide), a newspaper in Adelaide, South Australia, publ ...
'' newspaper that an attack by Houthis on tourism and global business hubs, would be an attack on the world.
Jean-Yves Le Drian Jean-Yves Le Drian (; born 30 June 1947) is a French politician who served as Minister of Europe and Foreign Affairs in the governments of Prime Ministers Édouard Philippe and Jean Castex (2017–2022) and as Minister of Defence under Presi ...
, France's
Minister of Foreign Affairs A foreign affairs minister or minister of foreign affairs (less commonly minister for foreign affairs) is generally a cabinet minister in charge of a state's foreign policy and relations. The formal title of the top official varies between co ...
, stated on 19 September that preliminary findings from the investigation appear to rule out the Houthis' involvement and their claim "lacks credibility", but there would be no definitive conclusion until the international investigation is complete. Officials for the United States had rejected the Houthis' claims, and instead said that Iran was responsible for the attacks. In the months prior, tensions between Iran and the United States created a crisis in the Persian Gulf, coupled with Iran's violations of the Joint Comprehensive Plan of Action related to their nuclear program in July 2019. On the day of the attacks, an unnamed senior U.S. official said that Iran, not the Houthis, were behind the attack, which involved some dozen cruise missiles and more than 20 drones. The U.S. said that it was working with Saudi Arabia to help investigate the attack and assure the facilities and energy supplies are secure and stable;
US Secretary of State The United States secretary of state is a member of the executive branch of the federal government of the United States and the head of the U.S. Department of State. The office holder is one of the highest ranking members of the president's Ca ...
Mike Pompeo Michael Richard Pompeo (; born December 30, 1963) is an American politician, diplomat, and businessman who served under President Donald Trump as director of the Central Intelligence Agency (CIA) from 2017 to 2018 and as the 70th United State ...
said that Iran was behind the attacks.
US President The president of the United States (POTUS) is the head of state and head of government of the United States of America. The president directs the executive branch of the federal government and is the commander-in-chief of the United States ...
Donald Trump Donald John Trump (born June 14, 1946) is an American politician, media personality, and businessman who served as the 45th president of the United States from 2017 to 2021. Trump graduated from the Wharton School of the University of P ...
initially stopped short of definitively blaming Iran for the attack, saying in an 18 September 2019 Newsweek article that "it was 'looking like' Iran was behind the attack."
Royal Saudi Air Force The Royal Saudi Air Force ( ar, ‎الْقُوَّاتُ الْجَوِّيَّةُ الْمَلَكِيَّةْ ٱلسُّعُوْدِيَّة, Al-Quwwat Al-Jawiyah Al-Malakiyah as-Su’udiyah) (RSAF) is the aviation branch of the Saudi Arabia ...
Colonel Turki al-Malki, a spokesperson for the Saudi-led coalition, issued a statement on 16 September saying that the drones appear to have been based on Iranian drones and that they were unlikely to have been launched from Yemen, counter to the claims of the Houthis. However, al-Malki said the coalition was still trying to determine the origin of the drones. At a press conference on 18 September, al-Malki showed debris of the drones, stating there were 18 drones and 7 missiles used in the attack (25 weapons in total), with the drones being delta wing-style craft of Iranian manufacture. Al-Malki showed surveillance footage that had, according to him, caught the drones traveling southward towards the facilities before the strike. He stated that this ruled out Yemen as a point of origin due to the range they would have had to have travelled. He concluded that this evidence "point to Iran", and that the attack was "unquestionably sponsored by Iran". Iranian Defense Minister Brig. Gen.
Amir Hatami Amir Hatami ( fa, امیر حاتمی) is an Iranian regular army (''Artesh'') officer with the rank of Brigadier general and Advisor to the Commander-in-Chief of the Iranian Armed Forces of Army Affairs and the former minister of defense of Iran. ...
stated in response to this new evidence, "These accusations are wholly, seriously and firmly rejected. It's easy to accuse someone without providing any proof." On 17 September 2019, an unnamed senior U.S. official told CBS News that the U.S. had identified the location in Southern Iran from which they believe the drones and cruise missiles were launched, while two U.S. Department of Defense officials told
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that they had detected Iran preparing drone flights at multiple launch sites in Iran before the attack. Saudi Arabia has not reached the same conclusion that Iran was the staging ground for the attacks, becoming increasingly confident but not totally convinced, with the United States due to share more intelligence with Saudi Arabia. The United States stated it would provide evidence at the 2019 United Nations General Assembly that the attack involved cruise missiles from Iran. For example, the United States has stated it has "circumstantial evidence" that Iran launched the strike from its own soil in the form of satellite imagery which shows Iran readying drones and missiles at launch sites in Iran before Saudi oil facilities were attacked. Late on 18 September, a U.S. official speaking to CBS News said that
Supreme Leader of Iran The Supreme Leader of Iran ( fa, رهبر ایران, rahbar-e irān) is the head of state of the Islamic Republic of Iran. The Supreme Leader directs the executive system and judicial system of the Islamic theocratic government and is the co ...
Ayatollah Khamenei Sayyid Ali Hosseini Khamenei ( fa, سید علی حسینی خامنه‌ای, ; born 19 April 1939) is a Twelver Shia '' marja and the second and current Supreme Leader of Iran, in office since 1989. He was previously the third president ...
had signed off on the attacks but only on the assurance that the method of the attack would allow Iran to deny involvement. Coupled with the Saudi evidence, the U.S. official stated that some of the attacks were launched from the Iranian
Ahvaz Ahvaz ( fa, اهواز, Ahvâz ) is a city in the southwest of Iran and the capital of Khuzestan province. Ahvaz's population is about 1,300,000 and its built-up area with the nearby town of Sheybani is home to 1,136,989 inhabitants. It is hom ...
Air Force Base, about from the targets, and flew through Kuwaiti air space. France, Germany and the United Kingdom, who had been trying to calm relations between the United States and Iran, made statements reported on 17 and 18 September 2019 to the effect that they would conduct an investigation prior to announcing conclusions. On 23 September, while meeting at the
2019 UN Climate Action Summit The 2019 UN Climate Action Summit was held at the headquarters of the United Nations in New York City on 23 September 2019. The UN 2019 Climate Summit convened on the theme, "Climate Action Summit 2019: A Race We Can Win. A Race We Must Win." The ...
, French President Emmanuel Macron, British Prime Minister
Boris Johnson Alexander Boris de Pfeffel Johnson (; born 19 June 1964) is a British politician, writer and journalist who served as Prime Minister of the United Kingdom and Leader of the Conservative Party from 2019 to 2022. He previously served as F ...
and German Chancellor
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issued a joint statement "It is clear to us that Iran bears responsibility for this attack. There is no other plausible explanation." The three leaders committed to continuing their investigation on the attack and urged Iran to alter their course to avoid elevating further hostilities in the areas. Iran has denied these statements and said that they were "blind, incomprehensible and meaningless" and warned the U.S. that it was "ready for fully-fledged war" with them should there be retaliation against Iran. Instead, Iran stated that the Houthis (whom they reportedly support in the Yemeni Civil War) were responsible for the attack. Iranian President Hassan Rouhani has stated that "Yemeni people are exercising their legitimate right of defence… the attacks were a reciprocal response to aggression against Yemen for years." The Iranian Ministry of Defence has also rejected the statements about Iranian involvement and said, "the issue is very clear: there has been a conflict between two countries (Yemen and Saudi Arabia)". In December 2019, the UN said that its investigation was not able to confirm the Saudi official claim that the weapons used in the attack are of Iranian origin. According to a confidential report by U.N. sanctions monitors seen by ''
Reuters Reuters ( ) is a news agency owned by Thomson Reuters Corporation. It employs around 2,500 journalists and 600 photojournalists in about 200 locations worldwide. Reuters is one of the largest news agencies in the world. The agency was esta ...
'' said that "despite their claims to the contrary, the Houthi forces did not launch the attacks on Abqaiq and Khurais on 14 September 2019." According to a report by the Middle East Eye, an anonymous Iraqi intelligence official said the attacks were launched from Southern Iraqi
Popular Mobilization Forces The Popular Mobilization Forces (PMF) ( ar, الحشد الشعبي ''al-Ḥashd ash-Shaʿbī''), also known as the People's Mobilization Committee (PMC) and the Popular Mobilization Units (PMU), is an Iraqi state-sponsored umbrella organization ...
bases in retaliation to Israeli drone strikes on the Iraqi forces in August that were reportedly funded by Saudi Arabia. A
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correspondent stated that the damage at the Abqaiq facilities reportedly was on the western-northwestern portions, which would have been difficult for the Houthis, located to the southwest, to have hit with drones. The
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reported that satellite images showed damage on the western side of Abqaiq. The office of the Prime Minister of Iraq denied that its territory was used to carry out the attacks and vowed to act "decisively" against anyone using Iraqi territory to attack other countries. The U.S. has also stated that Iraqi territory was not used.


Aftermath


Market impacts

Saudi Arabian officials stated that the attacks forced the shutdown of the facilities, cutting the country's oil production from 9.8 to about 4.1 million barrels of oil a day, losing 5.7 million barrels of oil a day or about 5% of global production. Initially, spokespeople stated that the plants were expected to return to their nominal capacity by 16 September 2019, and would use reserve oil to make up for the shortfall. However, other officials for the Saudi government estimated the time to restore full production would be "weeks, not days". The day after the attack, the Saudi stock market fell 2.3% in Sunday trading on 15 September. Commodities and stock markets as well as other financial indicators jumped on worldwide market openings on Monday, 16 September.
Brent Crude Brent Crude may refer to any or all of the components of the Brent Complex, a physically and financially traded oil market based around the North Sea of Northwest Europe; colloquially, Brent Crude usually refers to the price of the ICE (Intercon ...
oil
futures Futures may mean: Finance *Futures contract, a tradable financial derivatives contract *Futures exchange, a financial market where futures contracts are traded * ''Futures'' (magazine), an American finance magazine Music * ''Futures'' (album), a ...
prices surged almost 20 percent, the largest surge in the commodity's price since the 1990
Invasion of Kuwait The Iraqi invasion of Kuwait was an operation conducted by Iraq on 2 August 1990, whereby it invaded the neighboring State of Kuwait, consequently resulting in a seven-month-long Iraqi military occupation of the country. The invasion and Ira ...
. Other markets also saw impacts from concerns on the oil supply, including U.S. gasoline and heating oil, and the gold market. Impact to the U.S., which had doubled its oil production in the last decade and was now the world's largest producer, was expected to be immaterial. By Tuesday, 17 September, Saudi Arabian officials from the energy ministry stated that the repairs to the Abqaiq facility will be much faster than originally anticipated. The Abqaiq facility was operating at 2 million barrels per day within 48 hours of the attack. The energy ministry said full production could be restored within two to three weeks, by the end of September. Further, the nation planned no reduction of current oil exports, and will use reserve storage to maintain the current levels. These announcements were seen to help calm markets, as oil market prices and other financial indicators dropped during trading on 17 September from the spike the previous day, though still remained at elevated levels which are expected to have impacts on prices across the globe. To expedite repairs, Aramco shipped in equipment from the United States and Europe. The state-owned Saudi Aramco had been in the initial stages of planning its
initial public offering An initial public offering (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also to retail (individual) investors. An IPO is typically underwritten by one or more investme ...
(IPO) of about 5% of the company ownership of the estimated valuation of the company over the next few years. This IPO was originally to have started in 2018 but there were concerns about its finances and corporate structure. Industry analysts said that the September 2019 attacks will further delay this IPO until new concerns related to security against terrorism attacks and the ability to restore production after such an incident are proven, as well as the impact on the price of oil. Saudi Aramco later stated that recovery from the attack is not going to be as fast as initially expected, putting the IPO at risk of further delay. Ultimately, the IPO was launched in December 2019, with 1.5% of the company put to public trading on the
Tadawul Saudi Stock Exchange () or Tadāwul () is a stock exchange in Saudi Arabia. Tadāwul was formed in 2007 as a joint stock company and the sole entity authorized to act as a securities exchange in Saudi Arabia, but trading began in 1954 as an inf ...
exchange; it became the largest IPO ever at raised, and valuing the company at , making it the largest listed company at launch. On 27 September, ''Bloomberg News'' reported that while production capacity and exports implied that the industry was almost back to normal, that view may be overly simplistic, with output 1.8 million barrels a day below the pre-attack level and capacity reported to be only 700,000 barrels below the Kingdom's maximum. Until further repairs and adjustments, customers may be asked to accept heavier oil than the grades originally purchased.


Domestic reactions

The Saudi King,
Salman bin Abdulaziz Salman bin Abdulaziz Al Saud ( ar, سلمان بن عبد العزیز آل سعود, , ; born 31 December 1935) is King of Saudi Arabia, reigning since 2015, and served as Prime Minister of Saudi Arabia from 2015 to 2022. The 25th son of King ...
, issued a statement on 17 September, calling the attack a "vandalism and coward attack" that threatens international security and global energy supplies and said the kingdom is able to respond to these attacks. The king also said the attack comes after a series of attacks against the kingdom.


International reactions

The attacks raised concern over political stability in the Middle East, coupled with the US' stance that the attacks may have originated from Iran. The United States is a close ally of Saudi Arabia, while its relationship with Iran has been strained in 2019 as part of the overall Persian Gulf crisis. U.S. President
Donald Trump Donald John Trump (born June 14, 1946) is an American politician, media personality, and businessman who served as the 45th president of the United States from 2017 to 2021. Trump graduated from the Wharton School of the University of P ...
authorised the release of the
US Strategic Petroleum Reserve The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country primarily located in North America. It consists of 50 states, a federal district, five major unincorporated territori ...
to help stabilize energy prices in the US. Trump further stated that the U.S. is no longer dependent on oil from the Middle East. Trump condemned the attack and stated on Twitter on 15 September that the U.S. military is "
locked and loaded Molly Hatchet is an American rock band formed in 1971 by guitarist Dave Hlubek in Jacksonville, Florida. They were a popular band during the late 1970s and early-to-mid 1980s among the southern rock and hard rock communities. The band released ...
" but is waiting to hear from the Saudis as to who they believe was the cause of this attack, "and under what terms we would proceed". In the days that followed, Trump stated that he did not promise to protect the Saudis, but will have to sit with them and "work something out". On 20 September, Trump issued a new round of economic sanctions against Iran, targeting the
Central Bank of Iran The Central Bank of Iran (CBI), also known as ''Bank Markazi'', officially the Central Bank of the Islamic Republic of Iran ( fa, بانک مرکزی جمهوری اسلامی ايران, Bank Markazi-ye Jomhuri-ye Eslāmi-ye Irān; SWIFT Code: B ...
and the
National Development Fund of Iran The National Development Fund of Iran (NDFI) ( fa, صندوق توسعه ملی) is Iran's sovereign wealth fund. It was founded in 2011 to supplement the Oil Stabilization Fund. NDFI is independent of the government's budget. Based on Article ...
, preventing them from purchasing American dollars; these sanctions had been established earlier but had been previously lifted after Iran had agreed to the Joint Comprehensive Plan of Action. The sanctions are aimed to prevent Iran from having the funds to support future strikes. On 15 September 2019, Reuters reported on remarks by international organizations by stating "U.N. Secretary-General Antonio Guterres condemned Saturday’s attacks and called on all parties to exercise restraint and prevent any escalation. The European Union warned the strikes posed a real threat to regional security, and several nations urged restraint." Russian president
Vladimir Putin Vladimir Vladimirovich Putin; (born 7 October 1952) is a Russian politician and former intelligence officer who holds the office of president of Russia. Putin has served continuously as president or prime minister since 1999: as prime min ...
's spokesman
Dmitry Peskov Dmitry Sergeyevich Peskov ( rus, Дмитрий Сергеевич Песков, p=pʲɪˈskof; born 17 October 1967) is a Russian diplomat and the press secretary for Russian President Vladimir Putin.Hua Chunying Hua Chunying (; born 24 April 1970) is a Chinese official and former diplomat serving as spokesperson for the Ministry of Foreign Affairs of the People's Republic of China since 2012 and as the Assistant Minister of Foreign Affairs since 2021. H ...
, said in remarks quoted 16 September 2019 that while there is no "conclusive investigation", it is irresponsible to blame anyone for the attack, and added "we call on relevant parties avoid taking actions that bring about an escalation in regional tensions". Other nations called for waiting for results from investigations before stating who was behind the attack. Turkish President Recep Tayyip Erdoğan said on 17 September 2019: "We have to look at how the conflict in Yemen started. This country was completely destroyed – who caused it?" That same day, Japan's defence minister said his country has not seen any intelligence showing Iranian involvement in the attacks. "We are not aware of any information that points to Iran," Defence Minister Tarō Kōno told reporters at a briefing. "We believe the Houthis carried out the attack based on the statement claiming responsibility." Also on 17 September 2019, White House deputy press secretary
Hogan Gidley John Hogan Gidley is an American political aide who served as White House Deputy Press Secretary from 2019 to 2020 in the Donald Trump administration. In July 2020, Gidley became the press secretary of President Donald Trump's reelection campaig ...
said the Trump administration “can’t say definitively” that Iran was behind the attack. As of 18 September 2019, the United Arab Emirates had not yet attributed responsibility. Several international bodies and nations condemned the attack. The UN Secretary General condemned the attacks on Saudi Arabia, claimed by the Houthis, and UN Special Envoy to Yemen Martin Griffiths said the attack "carries the risk of dragging Yemen into a regional conflagration" and that "there is 'no time to waste' in ending four years of fighting between Houthi rebels and the internationally-recognized Government, supported by a Saudi-led coalition, which has pushed the country to the brink of famine." Arab League in a statement by the General Secretariat on 14 September, strongly condemned the drone attacks and termed the attacks as "serious escalations" and called for preserving security of the country.
NATO The North Atlantic Treaty Organization (NATO, ; french: Organisation du traité de l'Atlantique nord, ), also called the North Atlantic Alliance, is an intergovernmental military alliance between 30 member states – 28 European and two No ...
Secretary General
Jens Stoltenberg Jens Stoltenberg (born 16 March 1959) is a Norwegian politician who has been serving as the 13th secretary general of NATO since 2014. A member of the Norwegian Labour Party, he previously served as the 34th prime minister of Norway from 2000 to ...
"strongly condemned" the attacks and said Iran was "supporting different terrorist groups and being responsible for destabilising the whole region." In South Korea, the National Defence Minister Jeong Kyeong-doo denounced drone attacks on oil facilities as "a reckless act" that harms global security and stability. Saudi Crown Prince
Mohammad bin Salman Mohammed bin Salman Al Saud ( ar, محمد بن سلمان آل سعود, translit=Muḥammad bin Salmān Āl Su‘ūd; born 31 August 1985), colloquially known by his initials MBS or MbS, is Crown Prince and Prime Minister of Saudi Arabia. H ...
and South Korean President
Moon Jae-in Moon Jae-in (; ; born 24 January 1953) is a South Korean former politician, civil servant and lawyer who served as the 12th president of South Korea between 2017 and 2022. Prior to his presidency, he served as Senior Secretary for Civil Affairs an ...
agreed to strengthen partnerships between the two countries to fight against the terrorist attacks. During the Houthi "21 September revolution anniversary", the Houthi leader Muhammad Ali al-Houthi, offered to halt all attacks on Saudi Arabia. He said that Saudi Arabia should in return end its war in Yemen. The Houthis also warned that if Saudi Arabia refused their peace offer the next attacks will be more painful. The UN Yemen envoy, praised the Houthi announcement and said it could send a "powerful message of the will to end the war".


Related security issues

On 15 September 2019, the Cabinet of Kuwait said it was probing the sighting of a drone over its territory and coordinating with Saudi Arabia, and other countries, after the attacks. Kuwait has also increased its security as a result of the attack. Russian President
Vladimir Putin Vladimir Vladimirovich Putin; (born 7 October 1952) is a Russian politician and former intelligence officer who holds the office of president of Russia. Putin has served continuously as president or prime minister since 1999: as prime min ...
offered to sell Saudi Arabia the advanced
S-400 missile system The S-400 Triumf (russian: link=no, C-400 Триумф – Triumf; translation: Triumph; NATO reporting name: SA-21 Growler), previously known as the S-300 PMU-3, is a mobile, surface-to-air missile (SAM) system developed in the 1990s by Russ ...
so it could use it against air attacks instead of continuing to use the
Raytheon Raytheon Technologies Corporation is an American multinational aerospace and defense conglomerate headquartered in Arlington, Virginia. It is one of the largest aerospace and defense manufacturers in the world by revenue and market capitali ...
Patriot missile system. However, Putin made this offer beside a chuckling Iranian President Rouhani in what was described as a “sublime bit of political trolling“. By 11 October 2019, the United States had sent 3,000 additional troops to Saudi Arabia in response to the attack, which U.S. Defense Secretary
Mark Esper Mark Thomas Esper (born April 26, 1964) is an American politician and manufacturing executive who served as the 27th United States secretary of defense from 2019 to 2020. A member of the Republican Party, he had previously served as the 23rd ...
stated was to address "threats in the region" while protecting Saudi Arabia from "Iranian aggression". Secretive cyberattacks on Tehran internet capabilities followed the event and according to Iranian sources, a rocket attack on Iranian shipping in the Red Sea. Uzi Rubin, a prominent Israeli military expert, described the attack as only one of the most audacious military surprises ever and a landmark event that bolstered Iran's prestige domestically and internationally in defiance of the US sanctions.


See also

*
Airstrikes on hospitals in Yemen A Saudi Arabian-led military intervention in Yemen began in 2015, in an attempt to influence the outcome of the Yemeni Civil War. Saudi Arabia, spearheading a coalition of nine Arab states, began carrying out airstrikes in neighbouring Yemen and ...
* Dahyan air strike *
Iran–Saudi Arabia relations Iran and Saudi Arabia have had no diplomatic relations following the attack on the Saudi embassy in Tehran in January 2016 after Saudi Arabia executed Sheikh Nimr al-Nimr, a Shia cleric. Bilateral relations between the countries have been st ...
*
Petroleum politics Petroleum politics have been an increasingly important aspect of diplomacy since the rise of the petroleum industry in the Middle East in the early 20th century. As competition continues for a vital resource, the strategic calculations of major a ...


References

{{DEFAULTSORT:Abqaiq-Khurais attack, 2019 2019 in international relations 2019 in Saudi Arabia Attacks in Asia in 2019 Drone warfare Drone strikes Eastern Province, Saudi Arabia Iran–Saudi Arabia proxy conflict Military operations involving Saudi Arabia Saudi Aramco Yemeni Crisis (2011–present) Houthi insurgency in Yemen September 2019 events in Saudi Arabia