Business

Drone attacks on Saudi Aramco a huge challenge for Petrobras

Saudi Arabia drone attack oil prices
Satellite image shows site of drone attacks in Saudi Arabia

Saturday’s drone attacks on a Saudi Aramco oil processing plant—the world’s largest—sent shockwaves through the markets. The attacks, claimed by Yemen’s Iran-allied Houthi rebels, knocked global oil supply down by roughly 5 percent, causing the biggest intraday spike in Brent oil prices ever (even greater than after Iran’s 1979 Revolution, the Gulf War, or the September 11 attacks). Oil companies saw their share prices sore—and Brazilian giant Petrobras was no exception. But the market-disrupting attacks are set to create some imminent challenges for the state-owned firm.

Analysts agree that, in the short-term, Petrobras might benefit from the crisis, which has...

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