Oil Hits $100 as Red Sea Crisis Deepens: This Week in African and Gulf Energy
July 24, 2026: Houthi attacks reignite fears of a chokepoint squeeze, Egypt fast-tracks four energy deals, and Washington's new minerals order puts Africa in the spotlight.
Welcome to the Friday edition of Insights Dispatch, our flagship brief of the latest developments bridging Africa and the Gulf
Oil Climbs to $100 As Iran War Expands to Red Sea
The end of May saw Brent crude trade at its highest levels of above $100, a peak that was quickly calmed after a ceasefire was agreed between the United States and Iran. However, with the ceasefire having collapsed and the Yemeni Houthis announcing an attack on two Saudi Arabian tankers, oil prices have rebounded back to $100. The compounding effect of both the Strait of Hormuz and Bab el-Mandeb—two of the world’s most critical chokepoints for oil trade—is suffocating global energy markets. Financial Times reports fears of oil prices potentially exceeding the 2022 high of $139 a barrel following Russia’s invasion of Ukraine.
Egypt Launches Wave of Energy Exploration and Development Deals
Amid the wider energy shocks rippling from the Iran crisis, Egypt is accelerating its own domestic energy development. Parliament approved four separate agreements focused on oil and gas exploration and development, covering North Sinai, the Nile Delta, the Mediterranean Sea, and the Eastern Desert.
The dealmaking efforts come not only as Egypt aims to court greater foreign investment in its own energy sector, but also aims to integrate itself in the sectors of its neighbors. Recently, an Egyptian consortium consisting of Petrojet and Enppi was shortlisted by Petroleum Development Oman to bid for its $6 billion project portfolio.
New American Executive Order Heightens the Critical Minerals Race in Africa
The U.S. unveiled a new defense-focused Executive Order, calling for the securement of vital supply chains to bolster American security capabilities. In particular, the Order focuses on the procurement of critical minerals, not only to enhance current American equipment and supplies, but also to weaken the supply chain grip of rivals, most notably China.
With Africa being home to roughly 30% of the world’s known critical mineral reserves, the Order is likely to draw the continent into greater focus in American foreign policy, with a particular emphasis on the Democratic Republic of Congo (DRC), South Africa, and Zambia, home to some of the continent’s largest reserves.
With Gulf states likewise advancing their own critical mineral interests in the continent and deepening their defense partnerships with the U.S.—such as with the recent nuclear accord signed between Washington and Riyadh—the GCC’s mining relationship with Africa is likely to include Washington as a key partner.