Oil rose as Aramco headquarters strike and Hormuz mine attack stoke supply fears

Global crude oil futures advanced on Wednesday as a verified attack on Saudi Aramco’s Dhahran complex, naval mine strikes near the Strait of Hormuz, and a massive US inventory draw spurred fresh buying.

Crude futures extended gains on Wednesday as escalating military strikes against Gulf infrastructure and sharp US inventory declines lifted benchmark contracts. Brent rose 37 cents, or 0.35%, to settle at $106.06 a barrel, while WTI jumped 95 cents, or 1.01%, to close at $95.09 a barrel—its highest finish in three weeks. Stronger domestic tightness in the US compressed the transatlantic Brent–WTI spread inward to $10.97 a barrel.

Middle East supply security deteriorated further following confirmed direct hits on Saudi energy assets. Saudi Arabia's energy ministry confirmed a Houthi projectile struck an administrative building at Saudi Aramco's Dhahran headquarters, sparking a fire. Concurrently, Iranian military authorities announced new maritime tactics as a commercial container ship sank south of the Strait of Hormuz after striking a naval mine, following projectile damage to two other vessels earlier in the week.

A substantial draw on US physical stockpiles provided immediate upward momentum. American Petroleum Institute data indicated nationwide crude inventories fell by 11.1 million barrels for the week ended 9 October, tightening domestic spot fundamentals ahead of official government data. Gains were capped only modestly by an International Energy Agency report showing Middle East Gulf exports rebounded by 4.4 million bpd in September, though analysts noted the volume largely reflected redirected refinery feedstock rather than expanding crude output.