Gulf States Urge U.S. to Prevent Israeli Action Against Iran's Oil Sites

By Samia Nakhoul, Parisa Hafezi and Pesha Magid
DUBAI (Reuters) – Gulf states are lobbying Washington to prevent Israel from attacking Iran's oil sites due to concerns their facilities could be targeted by Tehran's proxies if the conflict escalates, according to three sources.

As part of their strategy to avoid becoming collateral damage, countries like Saudi Arabia, the UAE, and Qatar are denying Israel access to their airspace for such an attack and have communicated this stance to Washington, as revealed by sources connected to government.

Israel has claimed Iran will face consequences for a recent missile attack, while Iran has warned that any retaliation may lead to massive destruction, increasing fears of a wider regional conflict involving the U.S.

Diplomatic efforts by Shi'ite Iran have urged its Sunni Gulf neighbors to persuade the U.S. amid worries Israel would target Iran's oil production facilities. Iran warned Saudi Arabia that it cannot guarantee the safety of its oil facilities if Israel is allowed to operate in any capacity against Iran.

Saudi analyst Ali Shihabi noted that Iran explicitly stated that opening their airspace to Israel would be perceived as an act of war. Tehran warned Riyadh that its affiliates in Iraq or Yemen could retaliate against regional support for Israel.

Saudi Crown Prince Mohammed bin Salman and Iranian Foreign Minister Abbas Araqchi discussed the situation during meetings, focusing on Sino-American communications and addressing the ongoing crisis.

U.S. officials were reportedly informed about Gulf states' concerns regarding possible Israeli retaliation. The White House declined to comment on whether Gulf requests were made to ensure measured responses from Israel. President Biden and Netanyahu discussed the situation in a recent call, described as positive by both parties.

Jonathan Panikoff of the Atlantic Council suggested that Gulf anxieties will be essential in discussions with Israel to ensure a measured response to Iranian actions.

Oil Supply Risks

OPEC, led de facto by Saudi Arabia, has sufficient spare oil capacity to offset lost Iranian supply if necessary. However, if Gulf facilities face attacks, global oil supply could be threatened.

A Saudi concern arose following a 2019 attack on the Aramco oilfield, resulting in a disruption of over 5% of global oil supply, which Iran denied responsibility for.

While Saudi Arabia has sought improved relations with Tehran, trust remains an issue. Nations including Bahrain and Kuwait host U.S. military facilities, directly influencing security dynamics.

Discussions between Emirati officials and the U.S. have also highlighted the fear of regional conflict affecting oil facilities. Past Houthi attacks on the UAE's oil infrastructure underscore these concerns.

The Gulf states are resolute in denying Israel airspace for strikes, although they acknowledge Israel could utilize routes through Jordan or Iraq, deeming their own airspace unnecessary and strategically off-limits.

Israeli officials stated that while a response is under consideration, no decisions have been made about striking Iranian oilfields. Israel's Defence Minister pledged a lethal and surprising retaliatory strike when necessary.

Gulf sources emphasize the high stakes, warning that an Israeli attack on Iranian assets could have significant global ramifications, particularly affecting oil prices and U.S. elections. They urge keeping diplomatic channels open to signal to Iran they pose no threat.

According to Bernard Haykel, Riyadh remains vulnerable due to the proximity of Iranian forces to critical installations, raising the stakes in this tense situation.