Yemen’s Iran-aligned Houthi movement has launched a fresh attack on southern Saudi Arabia, while a planned meeting between Gulf states and Iran was postponed, raising renewed concerns that the widening Middle East conflict could further disrupt oil production and shipping.
The Houthis said they fired dozens of missiles and drones at a military airbase in Khamis Mushait, targeting aircraft hangars, radar installations, runways and ammunition depots. The group described the attack as retaliation for Saudi airstrikes in Yemen.
Saudi authorities issued emergency alerts in Khamis Mushait and three other southern cities that have previously been targeted by Houthi attacks.
The escalation came as Oman postponed a meeting that had been scheduled for Monday between Iran and Gulf Arab states over efforts to negotiate the reopening of the Strait of Hormuz, a vital route for global oil shipments.
Omani Foreign Minister Sayyid Badr Albusaidi announced the postponement, while Iran said Saudi Arabia had requested that the meeting be delayed.
The development has added uncertainty to efforts to ease tensions around Hormuz, which has remained largely closed since the United States and Israel attacked Iran at the end of February.
Iran has also published a list of 77 ships it accused of violating its operating protocols in the strait. Tehran warned that vessels on the list could face fines, detention or confiscation if they breach its rules during future crossings.
The latest developments immediately affected oil markets. Crude prices jumped more than 4% when trading resumed on Monday following the weekend escalation before giving back much of the advance during U.S. morning trading after President Donald Trump indicated that Tehran was seeking negotiations.
By 5:30 p.m. GMT, Brent crude was trading about 1.6% higher at around $106 a barrel.
U.S. diesel prices also reached a fresh record, with the politically sensitive average retail price rising above $6.23 per gallon.
Market participants warned that a prolonged disruption to Saudi Arabia’s east-west oil pipeline could remove as much as 4% of global oil supply from the market. Satellite imagery has shown fire damage along sections of the pipeline, although Saudi authorities have not disclosed when operations could resume.
The pipeline provides Saudi Arabia with an alternative export route that allows some Gulf oil to bypass the Strait of Hormuz. A separate attack on Friday, which Riyadh blamed on Iran-backed fighters in Iraq, had already disrupted the route.
The security situation in Yemen has also deteriorated sharply. The Houthis have made rapid territorial gains in recent days, including the capture of Perim Island at the entrance to the Red Sea on Friday. The group also moved into the historic Red Sea port of Mocha last week.
The International Organization for Migration estimates that about 82,000 Yemenis have fled their homes since the beginning of September as fighting intensified.
The renewed conflict presents a difficult position for Trump, whose Gulf allies are seeking greater assistance against the Houthis while Washington has so far resisted direct military intervention.
Three sources told Reuters that the U.S. has resisted Saudi requests for direct military involvement beyond intelligence support. Trump said over the weekend that he had spoken with Saudi Crown Prince Mohammed bin Salman and that the Houthis had also contacted Washington, urging the U.S. to stay out of the conflict.
Saudi state media reported that the crown prince met U.S. regional commander Admiral Brad Cooper in Jeddah on Monday.
Saudi Arabia has led a coalition against the Houthis since 2015, although fighting had eased considerably under a ceasefire in recent years. The renewed clashes have brought the conflict back into the wider regional crisis.
The humanitarian impact is already mounting. Aisha Muhammad, an elderly woman living in government-held territory near Taiz, told Reuters that she had been separated from two daughters and three sons who were unable to flee.
She said those trapped behind the fighting could not reach markets for food or drinking water and were being prevented from leaving their homes.
The escalation also comes as Washington signals a possible diplomatic opening with Tehran. Trump said Iran wanted to reach a deal with the United States “quickly and badly”, while leaving open the possibility of renewed engagement.
The president has separately said he expects the Iran conflict to end shortly after the November U.S. midterm elections and predicted that oil prices would fall sharply afterwards.
The United States previously conducted a two-month bombing campaign against Houthi targets in 2025 before Trump halted the operation following a ceasefire agreement with the group.