Houthi embargo forces diversion of Saudi oil tankers, lifts Brent crude above $95

Houthi rebels, backed by Iran, declared a maritime embargo on Saudi oil shipments and forced eight Saudi‑flagged tankers to abandon their normal Red Sea routes. The vessels were ordered to bypass the Bab el‑Mandeb strait and sail around the Cape of Good Hope, adding thousands of nautical miles to journeys to Asian markets.

The disruption coincided with a drop in traffic through the Bab el‑Mandeb and the Strait of Hormuz, as AIS‑off tankers such as the Malta‑flagged Lesvos (about 1 million barrels) and the VLCC Desh Vaibhav (about 2 million barrels) exited the Red Sea. Brent crude responded, climbing above $95 a barrel, raising concerns about global oil supply, shipping insurance costs and market volatility.