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Houthis hit Saudi refinery; Iran sets new terms for Hormuz reopening

Houthis claim drone attack on Aramco refinery in Jazan; Iran demands US policy shift before reopening Strait of Hormuz.

Yemen's Houthi rebels said they launched a drone attack on an Aramco oil facility in the southwestern Saudi city of Jazan on Sunday. The group's military spokesperson, Yahya Saree, said the strike was retaliation for Saudi drones that had entered Yemeni airspace over the provinces of Hajjah and Saada.

Saudi Arabia's Energy Ministry confirmed a fire broke out at the refinery early Sunday, adding that it was extinguished without causing any casualties. The ministry did not specify what started the blaze.

This incident is the latest in a string of missile and drone attacks by the Houthis targeting Saudi territory and Red Sea shipping. The renewed hostilities threaten to unravel the fragile calm that has held since a 2022 truce largely halted major fighting in Yemen's long-running civil war.

In a separate development, Iran's Supreme National Security Council has issued fresh conditions for reopening the Strait of Hormuz, a critical artery for global oil and gas shipments. Council secretary Mohammad Bagher Zolghadr said the waterway will remain closed until the United States "corrects its behavior."

His statement, carried by Iranian state media, demands that Washington permanently end threats against Iran, lift its naval blockade of Iranian ports, withdraw all military forces from the region, provide full compensation for war damage, remove sanctions, and unconditionally release frozen Iranian assets.

The US had sought an acceptable agreement on the strait before ending the blockade. Washington had no immediate response to the new demands. An interim deal signed in June had outlined a process for lifting sanctions and addressing compensation in a final agreement.

Meanwhile, the Pentagon is pushing defense contractors to speed up weapons production. Spokesman Sean Parnell said the department is focused on accelerating munitions acquisitions to supply troops at the pace the current threat demands. Analysts at the Center for Strategic and International Studies note that the ongoing conflict has significantly depleted US stockpiles of advanced missile interceptors.

Negotiators from Iran and Oman are reportedly finalizing a temporary arrangement that would reopen the strait, with inbound ships using a route near Iran and outbound vessels taking a path closer to Oman. The interim plan would not involve tolls and is intended to restart a 60-day negotiation window between Washington and Tehran over Iran's nuclear program. The deal, backed by Gulf Cooperation Council members, could be announced jointly by Iran, Oman, the US, and the International Maritime Organization, though officials caution that terms remain subject to change.