Oil Surges Above $107 on Saudi Pipeline Outage and Houthi Attacks

Oil prices surged above $107 per barrel on Tuesday, September 15, 2026, as a convergence of supply threats in the Middle East rattled global energy markets. Brent crude futures rose over 2% to trade near $107.83, while U.S. West Texas Intermediate gained more than 2% to climb above $103. The price spike was driven by a major outage of Saudi Arabia's critical East-West pipeline, intensified attacks by Houthi forces, and the indefinite postponement of diplomatic talks aimed at easing shipping disruptions. The pipeline, a vital artery that allows the kingdom to bypass the blockaded Strait of Hormuz, was knocked offline after drone strikes launched from Iraq damaged pumping stations. Saudi officials confirmed the shutdown, which threatens up to 4% of global oil supply. Full repairs to the damaged stations are expected to take six to eight weeks, according to the Wall Street Journal. Saudi Arabia is working to restore partial operations within days, but the extended timeline for full capacity has heightened market anxiety.