Oil Soars Past $109 as Iranian Strikes Target Shell and Exxon Energy Assets

Key Takeaways

Table of Contents

Shell’s Pearl gas-to-liquids plant in Qatar and the Samref refinery co-owned by Exxon in Saudi Arabia sustained damage from Iranian strikes
Crude oil surged 3% to reach $109 per barrel, with temporary spikes touching $120
QatarEnergy confirmed significant damage to LNG infrastructure at the Ras Laffan complex
President Trump issued warnings to Iran regarding potential retaliation if attacks on Qatar’s LNG operations continue
Energy infrastructure in Kuwait, UAE, and Saudi Arabia faced coordinated drone and missile assaults

A coordinated series of Iranian military strikes targeted critical energy infrastructure throughout the Middle East in the last day, damaging facilities operated by major oil companies Shell and Exxon Mobil.

Oil prices climbed approximately 3% to reach $109 per barrel in response to the attacks. Markets saw temporary volatility with crude touching $120 before stabilizing. Trading Thursday showed Exxon shares gaining 1.2%, while Shell declined 0.6%.

Exxon Mobil Corporation, XOM

The Samref refinery complex in Yanbu, Saudi Arabia, was hit by a drone attack. This facility operates as a joint venture between Saudi Aramco and Exxon, with the American energy giant holding a 50% ownership stake. The refinery maintains processing capacity of 400,000 barrels daily.

Yanbu’s strategic importance has increased substantially as a Red Sea export terminal. With Iran’s blockade of the Strait of Hormuz and ongoing attacks on Gulf shipping, Saudi Arabia has shifted oil exports through the East West Pipeline to Yanbu terminals.

According to Aditya Saraswat from Rystad Energy, significant disruption at Yanbu could eliminate 5 to 6 million barrels daily from global markets, potentially driving crude prices toward $150 or beyond.

Saudi defense systems successfully intercepted a ballistic missile targeting Yanbu. Full damage assessment at the Samref facility remains ongoing. Saudi Aramco has not issued a statement, and Exxon has yet to provide comment.

Qatar’s Pearl Facility Damaged

Iranian missiles targeted Ras Laffan Industrial City in Qatar, where Shell operates the Pearl plant—the planet’s largest gas-to-liquids conversion facility. Shell confirmed that fires erupted at Pearl following the strike but were rapidly contained. The facility has been secured in a “safe state,” according to company statements, with no personnel injuries.

Shell indicated it is collaborating with Qatari government agencies and QatarEnergy to determine the full extent of damages.

QatarEnergy, ranked as the world’s second-largest liquefied natural gas exporter, acknowledged “extensive damage” across its LNG processing operations at Ras Laffan. By early Thursday, emergency response teams had extinguished all fires, with zero casualties reported.

Qatar’s annual LNG production totals 77 million metric tons. Any prolonged disruption at Ras Laffan facilities carries significant implications for worldwide natural gas markets.

Presidential Warning Issued

President Donald Trump took to social media to warn Iran against further attacks on Qatar’s LNG infrastructure. He threatened to “massively blow up the entirety of the South Pars Gas Field” if additional strikes occur.

Trump revealed that Israel had previously struck South Pars without coordinating with either the United States or Qatar. Qatar’s foreign ministry responded by ordering the expulsion of Iranian security and military attachés within 24 hours, characterizing the Ras Laffan assault as a “direct threat” to the nation’s security.

Kuwait reported drone attacks on two major refineries—Mina al-Ahmadi and Mina Abdullah—resulting in fires at both locations. The UAE took precautionary measures by shutting down the Habshan gas processing facilities and the Bab oil field following missile interceptions. Both countries reported no casualties.

Shell confirmed Thursday that damage evaluation at the Pearl facility continues.

Oil Soars Past $109 as Iranian Strikes Target Shell and Exxon Energy Assets

Key Takeaways

Qatar’s Pearl Facility Damaged

Presidential Warning Issued

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