Saudi Aramco has shut down its massive Ras Tanura refinery as a precautionary measure after a drone strike, escalating the Iran war and threatening the Middle East's energy supply.
Crude oil prices surged to $80/barrel on the news, with two drones intercepted at the facility causing a limited fire and no injuries.
The shutdown of the 550,000-barrel-per-day refinery will likely add to supply worries, as the Strait of Hormuz grinds to a near-halt with at least three tankers attacked in the waterway.
The attack marks a significant escalation, with Gulf energy infrastructure now squarely in Iran's sights, and could move Saudi Arabia and neighboring Gulf states closer to joining US and Israeli military operations against Iran.
Higher global energy prices mean consumers will pay more for gasoline at the pump and have to shell out more for groceries and other goods at a time when many are already feeling the impacts of elevated inflation.
