US-Iran SITREP: Houthi Aramco Strikes Escalate as Ceasefire Talks Stall — July 2026

US-Iran direct kinetic exchanges have paused for the first time in 14 days, with Washington requesting a temporary ceasefire and proposing a return to a Memorandum of Understanding that would incorporate Yemen. Iran has signaled it is unlikely to accept the latest US terms. Concurrently, Iran-backed Houthis conducted the largest attack on Saudi energy infrastructure since 2015, striking Aramco facilities in Jazan and Yanbu with ballistic missiles and drones, resulting in multiple large fires confirmed by NASA FIRMS thermal anomalies exceeding 60 MW FRP. IRGC naval forces continue to interdict shipping in the Strait of Hormuz, firing warning shots at four vessels in the past 24 hours. Ukrainian strikes on Russian vessels carrying Iranian military cargo in the Caspian Sea further complicate Iranian resupply lines. Multiple thermal anomalies across Iranian territory and the Persian Gulf indicate ongoing strikes or secondary fires, while Israeli operations in Gaza and the West Bank remain at elevated levels. Diplomatic channels between Washington and Tehran remain active, yet both sides continue to posture militarily. The combination of Houthi escalation against Saudi Arabia, Hormuz disruptions, and stalled de-escalation talks creates a highly volatile environment across multiple theaters.