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Drone strike near Suez Canal in Egypt raises new security threat in widening war

Drone strike near Suez Canal in Egypt raises new security threat in widening war

By Nafisa Eltahir, Elwely Elwelly and Tala Ramadan Thu, July 30, 2026 at 4:27 PM UTC

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By Nafisa Eltahir, Elwely Elwelly and Tala Ramadan

DUBAI, July 30 (Reuters) - A drone strike on gas vessels in Egypt's Mediterranean port of Damietta signalled a potential new front in the U.S.-Iran war, raising the prospect of threats to navigation through the Suez Canal, one of the last remaining export routes for Saudi oil.

Egypt's cabinet said on Thursday that an initial investigation found an unidentified drone caused a fire on two vessels at Damietta port on Wednesday. The port lies near the Suez Canal, which links the Mediterranean and Red Seas.

No group has claimed responsibility, the cabinet said. Trading sources familiar with the incident said the drone hit U.S.-owned gas storage tanker Energos Winter, causing a fire that spread to a second vessel.

Overnight, the U.S. military said it struck Iran's Revolutionary Guards' military command centres and drone facilities after Tehran fired at U.S. forces in the region.

Iranian state media, quoting the Guards, said U.S. strikes killed three civilians and wounded two children on Qeshm Island, while three Guards members were killed in Zanjan province.

The governor of Khuzestan province, also quoted by state media, said two student dormitory complexes in the southwestern city of Ahvaz were damaged in the attacks.

The Islamic Revolutionary Guard Corps said it struck the Azraq military base in Jordan in response, attacking U.S. F-35 fighter jets. The U.S. military denied this, saying no U.S. aircraft had been destroyed or damaged.

"All missiles and drones were intercepted, or failed to reach targeted areas," U.S. Central Command said.

U.S. bases in Jordan have lately become primary Iranian targets. Jordan's armed forces said earlier on Thursday they had intercepted five Iranian missiles.

The Guards also struck U.S. assets at Ali Al Salem Air Base in Kuwait, according to Iran's semi-official Tasnim news agency.

An Iranian attack hit a building owned by a Chinese company in northern Kuwait, killing a worker and inflicting significant damage, Kuwait's Defence Ministry said.

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The war began in February, when the U.S. and Israel launched a bombing campaign in Iran that President Donald Trump said would last only a few weeks. A temporary ceasefire agreement in June collapsed amid renewed fighting over the Strait of Hormuz, a crucial waterway that Iran says it now controls.

In a first in the five-month war, Saudi Arabia on Wednesday publicly joined strikes alongside U.S. forces, targeting Iran-aligned groups in eastern Iraq, in retaliation for drone attacks on Saudi oil targets launched from Iraq.

Another Iran-aligned group, Yemen's Houthis, carried out the attacks on Saudi Arabia from Iraqi territory in coordination with Iraqi groups, according to assessments by Saudi Arabia and regional partners.

The latest strikes in Iraq and Egypt threatened to draw more Middle Eastern countries into the conflict after the Houthi militants declared a naval blockade last week on Saudi Arabia, threatening the alternative Red Sea route for its oil to Asia.

Attacks on ships by the Houthis prompted London's marine insurance market to widen its "high risk" zone in the Red Sea to include more of the coast adjacent to Saudi ports.

Trump said he would hit Iran hard for firing missiles at U.S. forces, but that Washington was also still seeking a peace deal to end a conflict that has roiled global energy and finance markets.

Iran said on Wednesday that it struck three tankers attempting to transit through the Strait of Hormuz along an unauthorised route.

However, a QatarEnergy-controlled liquefied natural gas tanker exited the strait overnight, the first such vessel recorded by ship-tracking data leaving the waterway since July 11. Iranian news agency Fars said Tehran had given its permission for the tanker to pass.

Oman has presented Iran with a plan backed by Gulf states to manage the Strait of Hormuz, including collecting voluntary fees for using it, sources told Reuters.

Tehran rejected the Omani proposal on Wednesday, but Iran's semi-official ILNA news agency quoted the country's foreign ministry spokesperson Esmaeil Baghaei as saying that talks with Oman over the Strait of Hormuz were continuing.

After the war exposed gaps in Iran's ability to protect military sites and strategic infrastructure, Tehran was expected to receive within weeks a first shipment out of up to 400 Chinese-made shoulder-fired air-defence missile launchers, three sources familiar with the deal told Reuters. Iran's Foreign Ministry did not immediately reply to a request for comment, while China's Foreign Ministry denied the report.

(Reporting by Reuters bureaux; Writing by Andrei Khalip; Editing by Ros Russell and Toby Chopra)

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