Saudi Arabia attack ‘very concerning’, could worsen fuel crisis, Penny Wong says

Foreign Minister Penny Wong has warned an attack on Saudi Arabia’s capital Riyadh by the Iran-backed Houthis could further exacerbate fuel prices.

Saudi officials said on Thursday at least three people had been killed and 36 injured after twin attacks by the Yemen-based Houthis on the King Khalid International Airport in Riyadh and the Abha International Airport close to the Yemeni border in recent days.

It comes amid renewed fighting between the Houthis and the Saudi-backed, internationally recognised government in Yemen, which suffered blistering losses in a lightning offensive on the Red Sea coast last month that reignited fears about the safety of global energy supply.

On Thursday, Senator Wong said reports of the attack on Riyadh were “very concerning”.

“We will likely see, if these reports are confirmed, upward pressure on the oil price, which obviously affects Australians at the bowser,” she said.

Asked whether she would rule out another fuel excise cut following the recent attacks on Saudi Arabia, including on a pipeline sending fuel to the Red Sea coast, Senator Wong said she would not “get into ruling in or out”.

She said the government remained focused on guaranteeing supplies of petrol, diesel and fertiliser as well as other cost-of-living relief.

It comes as US President Donald Trump pledges not to attack Iran before the midterm elections next month.

In a post to Truth Social, Mr Trump said “We are having productive discussions with the Islamic Republic of Iran.”

The US and their Gulf allies have struggled to establish a lasting agreement with Iran that would reopen the Strait of Hormuz.

The strait, through which one-fifth of the world’s crude oil passes in peacetime, was largely shuttered by Iran following the outbreak of hostilities.

The US has responded by blockading Iranian ports, something Iran says must be lifted before the strait is reopened.

Senator Wong said whether claims by Mr Trump that the strait was open were accurate or not, “it’s what the private sector – shipping, the transport companies – believe can happen” that was important.

“And so obviously there’s a chilling effect on the willingness of companies to transport fuel through the strait, which is having an effect on fuel,” she said.