TLDR
- Shell’s Pearl gas-to-liquids plant in Qatar and the Samref refinery in Saudi Arabia, co-owned by Exxon, sustained damage from Iranian strikes
- Crude oil surged 3% to reach $109 per barrel, with intraday peaks touching $120
- QatarEnergy confirmed severe damage to LNG infrastructure at the Ras Laffan complex
- President Trump issued warnings to Iran, threatening retaliation against the South Pars Gas Field
- Energy infrastructure in Kuwait, the UAE, and Saudi Arabia faced additional drone and missile assaults
A coordinated series of Iranian military operations targeted petroleum facilities throughout the Middle East in the last 24 hours, causing damage to installations operated by energy majors Shell and Exxon Mobil.
Oil prices climbed approximately 3% to settle at $109 per barrel in the wake of the attacks. Trading saw brief spikes reaching $120 before markets stabilized. Shares of Exxon advanced 1.2% during Thursday’s session, while Shell’s stock declined 0.6%.
The Samref refinery complex in Yanbu, Saudi Arabia, came under drone attack. This facility operates as a joint venture between Saudi Aramco and Exxon, with the American oil giant maintaining a 50% ownership interest. The refinery has processing capacity for 400,000 barrels daily.
Located along the Red Sea coastline, Yanbu has emerged as a vital petroleum shipping hub. With Iran’s blockade of the Strait of Hormuz and ongoing attacks on Gulf shipping lanes, Saudi Arabia has redirected crude exports through its East West Pipeline system to Yanbu terminals.
According to Aditya Saraswat, an analyst with Rystad Energy, any significant disruption to Yanbu operations could eliminate 5 to 6 million barrels per day from global markets, creating conditions that might drive prices toward $150 or beyond.
Saudi air defense systems successfully intercepted a ballistic missile targeting Yanbu. Officials continue evaluating the full scope of damage at the Samref facility. Aramco representatives declined commentary, while Exxon has not yet issued a response.
Shell’s Pearl Plant Hit in Qatar
Iranian projectiles also impacted Ras Laffan Industrial City in Qatar, the location of the globe’s largest gas-to-liquids production complex — Shell’s Pearl facility. According to Shell’s statement, a fire erupted at Pearl but emergency teams extinguished it rapidly. The facility has been secured in “a safe state,” company officials confirmed, noting zero casualties.
Shell indicated it is collaborating with Qatari government agencies and QatarEnergy to determine the extent of structural damage.
QatarEnergy, ranking as the planet’s second-largest liquefied natural gas exporter, acknowledged “extensive damage” across its LNG processing operations at Ras Laffan. Fire suppression efforts successfully contained all blazes by early Thursday morning, with no reported injuries.
Qatar’s annual LNG output reaches 77 million metric tons. Any prolonged disruption at Ras Laffan facilities carries implications for worldwide natural gas availability.
Trump Warns Iran
President Donald Trump took to social media to warn Iran against further strikes on Qatari LNG infrastructure. He vowed to “massively blow up the entirety of the South Pars Gas Field” should additional attacks occur.
Trump revealed that Israel conducted strikes on South Pars without prior coordination with American or Qatari authorities. Qatar’s foreign ministry responded by ordering the expulsion of Iran’s security and military diplomatic personnel within a 24-hour window, characterizing the Ras Laffan assault as a “direct threat” to the nation’s security.
In Kuwait, unmanned aerial vehicles targeted two refining complexes — Mina al-Ahmadi and Mina Abdullah — igniting fires at both locations. The UAE implemented emergency shutdowns at Habshan gas processing facilities and the Bab oil field following the interception of incoming missiles. Both countries reported no casualties.
Shell representatives stated Thursday that damage assessment procedures at the Pearl facility remain in progress.
