The British oil company has halted indefinitely all its shipments transiting the Red Sea. This decision comes following UK and US strikes on Houthi targets, sparking concerns about potential further escalation, as reported by The Wall Street Journal.
The British oil company has indefinitely suspended all of its shipments passing through the Red Sea after UK and US strikes on Houthi targets triggered fears of further escalation, according to a Wall Street Journal report.
Wael Sawan, Shell’s Chief Executive, says in an interview with WSJ’s Jenny Strasburg at Davos that the company’s decision today to suspend shipping in the Red Sea is affecting costs.
Last week, the company took the step to halt all crossings over concerns that an attack on one of its ships could trigger a massive oil spill in the region’s seas. This move was taken also to avert risks to the safety of crews on the ships, the report added.
The West’s targeting of the Iran-back militia came after the Houthis launched dozens of missiles and drones at cargo ships around the Red Sea and the nearby Bab el-Mandeb. The militia stated that the attacks were in response to the Israeli offensive in the Gaza Strip.
Last month, rival oil company BP said it had temporarily paused all transits through the Red Sea.
