Ship Leaking Oil After Apparent Houthi Attack in Red Sea

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Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--A ship carrying a cargo of crude oil that's now immobilized and on fire in the Red Sea is evidence that the Iranian-backed Houthi rebel group in Yemen cares little about its own backyard, the U.S. military said.

Houthi attacks on freight moving through the Red Sea and the surrounding waters began in October after the Palestinian group Hamas, also backed by Iran, stormed the Israeli border, triggering a protracted conflict that threatens to escalate at any time.

The United Kingdom Maritime Trade Organization on Tuesday issued an advisory after a vessel was followed by an unmanned drone accompanied by three smaller vessels near the Yemeni coast.

Pentagon Press Secretary Major General Pat Ryder said the U.S. military was aware that the Greek-flagged, Greek-owned MV Delta Sounion was attacked by the Houthis last week.

The vessel was carrying about 1 million barrels of crude oil from Iraq when it was attacked. The ship has since been abandoned.

"The MV Delta Sounion now sits immobilized in the Red Sea, where it is currently on fire and appears to be leaking oil, presenting both a navigational hazard and a potential environmental catastrophe," Ryder said Tuesday.

Ships such as the Delta Sounion already travel through the volatile waters of the Persian Gulf before approaching Yemen. The Persian Gulf typically handles about 20% of the global waterborne oil trade and 4% of the total shipments of liquefied natural gas (LNG).

Through the waters off Yemen pass about 12% of the world's waterborne oil trade and 8% of the LNG shipments.

Since the attacks began last year, shipping giant Maersk (Copenhagen, Denmark) said it would avoid the region for the foreseeable future, opting instead to go around the Cape of Good Hope off South Africa. Major energy companies BP (NYSE:BP) (London, England) and Equinor (NYSE:EQNR) (Stavanger, Norway) are also avoiding the region.

It takes about a month longer to go around the Cape of Good Hope and add tens of thousands of dollars in fuel costs.

With an oil-laden tanker now on fire and apparently leaking oil, the Pentagon said ongoing Houthi attacks pose multiple threats beyond just national security.

"These are simply reckless acts of terrorism which continue to destabilize global and regional commerce, put the lives of innocent civilian mariners at risk, and imperil the vibrant maritime ecosystem in the Red Sea and Gulf of Aden, the Houthis own backyard," the major general said.

The Pentagon said an unnamed third party was able to deploy two tug boats to the stricken vessel in a salvage attempt, but they were turned away by the Houthis.

Dryad Global, a maritime risk consultant, said in a weekly letter, meanwhile, that U.S. military forces have redeployed from the Red Sea to the Mediterranean Sea and the Persian Gulf as part of an effort to address security concerns stemming from Iran.

Iran was widely expected to retaliate to the assassination of a high-ranking official from Hamas on its territory, but like its Lebanese proxy Hezbollah, Tehran seems to be avoiding stoking the regional flames.

The Marlin Luanda oil tanker caught fire after it was hit by a missile fired from Yemen in January. The USS Dwight D. Eisenhower was attacked by the Houthis in June.

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