Iranian drones struck Kuwait's oil infrastructure on Sunday, causing "severe material damage" and threatening already disrupted oil supplies amidst the US-Israel conflict with Iran. The attacks occurred hours before OPEC+ members convened to discuss boosting output, further complicating the situation as Iran has effectively closed the Strait of Hormuz shipping route.
The Islamic Revolutionary Guard Corps claimed responsibility, stating they targeted petrochemical plants in Kuwait, the United Arab Emirates, and Bahrain. Kuwait Petroleum Corporation reported damage and fires at its subsidiaries, including the Shuwaikh oil sector complex housing the oil ministry and KPC headquarters. Separate drone attacks also hit an office complex for Kuwaiti government ministries and two power and water desalination plants, causing significant damage, though no casualties were reported.
The Strait of Hormuz, a vital trade artery, typically sees around 20% of the world's crude oil pass through it daily. Iran's blockade has severely constrained distribution, resulting in the largest disruption to oil supplies in history. Brent crude prices have surged over 50% since the year's start due to the war, peaking at $119.50 a barrel in March and currently trading around $109.
These attacks follow an Israeli strike on Iranian petrochemical plants, escalating tensions in the region. The situation is further strained by Donald Trump's ultimatum to Iran, demanding the reopening of the Strait of Hormuz within 48 hours or face severe consequences. The ongoing conflict and infrastructure damage across the Gulf are expected to have significant repercussions on global energy markets and economic stability.
