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Yemen's Houthis have said they will target US oil companies with sanctions

A group affiliated with the Iran supported militia announced on Tuesday that Yemen's Houthis would target U.S. major oil companies including ExxonMobil, Chevron and ExxonMobil with sanctions.

The Humanitarian Operations Coordination Center, a Sanaa-based body established last year to liaise with Houthi forces, commercial shipping operators and other parties, has sanctioned thirteen U.S. firms, nine executives, and two vessels.

The sanctions were a retaliation to U.S. Sanctions imposed against the Houthis in this year despite a ceasefire agreement reached with the Trump Administration in which the Yemeni Group agreed to stop attacks on U.S. linked ships in the Red Sea as well as the Gulf of Aden.

Exxon and Chevron declined to comment.

It is unclear whether the sanctions will lead the Houthis to begin targeting vessels that are linked to sanctioned companies, organizations and individuals. This would be a risky move, as it could violate the ceasefire agreement that was facilitated by Oman with the Trump Administration," said independent Middle East analyst Mohammed Albasha in a LinkedIn posting on Tuesday.

Since 2023, the Houthis have repeatedly attacked vessels in Red Sea they believe to be connected with Israel. They claim this is in solidarity with Palestinians in response to Israel's Gaza war.

According to the U.S. Energy Information Administration, the campaign had little impact on the vital oil tanker traffic that passes through the Strait of Hormuz. This is the waterway between Oman, Iran, and the Gulf of Oman, connecting the Persian Gulf, Gulf of Oman, and Arabian Sea.

Houthis has occasionally attacked ships in Gulf of Aden which connects Red Sea and Arabian Sea.

The Houthis claimed Monday responsibility for attacking with a cruise-missile a Dutch cargo vessel in the Gulf of Aden, leaving it ablaze and drifting. Two crew members were injured.

According to the EIA, last year the U.S. imported around 500,000 barrels of crude oil and condensate per day from Gulf countries via the Strait of Hormuz. This represents about 7% in total U.S. crude and condensate exports. The agency stated that this is the lowest level for nearly 40 years, due to the increase of domestic production and Canadian imports.

Albasha of U.S. based Risk Advisory Basha Report said the move would not affect the oil markets, as most of the trade is done by Chinese, Russians, Iranians, and other Gulf Companies that the Houthis wish to maintain good relations with.

He said: "This appears to be a media stunt. It's a way for them to save face, and reassure the people of their country in light on mounting U.S. Sanctions and Israeli strikes which have hurt their economy."

The HOCC statement included the following line: "The ultimate purpose of sanctions is not punishment, but positive behavior change." Reporting by Lisa Baertlein, Liz Hampton and Sheila Dang from Los Angeles; editing by Daniel Wallis, Stephen Coates and Stephen Coates

(source: Reuters)