Why did a suspected Iranian drone hit the Egyptian port of Damietta?

A drone attacked the Port of Damietta in northern Egypt on Wednesday, striking two gas storage vessels, one of which is owned by a US company. On Thursday, the Egyptian government announced that investigations are ongoing to determine the circumstances surrounding the incident.

While Iran has regularly attacked what it says are US-linked facilities in the Gulf region and Jordan, this is the first time since the beginning of the US-Israeli war on Iran in February that Egypt has been targeted.

What was hit?

The vessel Energos Winter is a Floating Storage and Regasification Unit (FSRU) with a storage capacity of 138,250 cubic meters. It is owned by the American company Energos Infrastructure.

Its technical, safety, and commercial operations are managed by Wilhelmsen Ship Management, a subsidiary of Norway's Wilhelmsen Group headquartered in Singapore, according to Reuters.

Energos Winter is chartered by the Egyptian Natural Gas Holding Company (EGAS), the Egyptian state-owned gas company.

The other damaged vessel is a liquefied natural gas (LNG) carrier owned by a Greek shipping company.

Ship-tracking company Kpler said that both vessels were moved away from the Port of Damietta, which is located near the Suez Canal.

Why Egypt?

Since the start of the US war, Iran has said that no country in the region is immune from being targeted. It has struck all of its Gulf neighbours and Jordan, claiming to target US interests in the region and countries that support the U.S. military effort, without exception.

On Thursday morning, Iran's Islamic Revolutionary Guard Corps (IRGC) warned "countries that intervene in support of the aggressor, if they do not correct their behaviour", saying they would receive a "harsh response", without naming any specific countries.

How significant is the Port of Damietta as a target?

The Port of Damietta’s terminal enables Egypt to liquefy surplus natural gas beyond domestic demand and ship it by sea to destinations that cannot be reached solely through pipelines. It began operations in 2005, suspended activity in 2012, and resumed production and exports in February 2021.

Any disruption to Damietta Port or its LNG terminal carries significance beyond the port itself because of its role in supplying Egyptian – as well as Israeli - gas to international markets. The terminal's importance to Europe became especially evident during the energy crisis following the outbreak of the Russia–Ukraine war. In 2022, the plant produced and exported about 4 million tonnes of LNG - the highest annual output in its history at that time — with nearly 60% of shipments destined for Europe.

Is Iran involved?

The New York Times, citing two unnamed Iranian sources, reported that the strike was carried out using an Iranian drone. According to the sources, the objective was to demonstrate that global shipping and energy supplies could face more serious disruptions if Tehran chose to escalate the conflict.

How has the US reacted?

On Wednesday, US President Donald Trump said that the incident was ‘more of the same’ from Tehran, while threatening to hit Iran “very hard, because it’s our turn to hit them,” using similar language as on previous occasions where Iran has struck targets in the region.