Saudi Arabia resumes crude oil exports via Red Sea after nine-day shutdown

Saudi Arabia has restarted the East-West oil pipeline after a nine-day shutdown and is preparing to resume crude oil exports from the Red Sea port of Yanbu. The system is currently operating at reduced capacity.

Saudi Aramco plans to gradually raise pipeline flows to around 4 mln barrels per day. A full restoration of the infrastructure could take several weeks.

The East-West pipeline is strategically important for Saudi exports because it allows crude oil to move from eastern oil fields to the Red Sea coast, bypassing the Strait of Hormuz. Before the shutdown, around 4 mln barrels per day were transported through the route, equivalent to roughly 4% of global oil supply.

The restart immediately added pressure to crude oil prices. Brent fell by more than $2 per barrel, reaching its lowest level since the beginning of September.

Resumed shipments via Yanbu could gradually increase the availability of Saudi crude oil on the global market and ease pressure on maritime logistics. Further price movements will depend on the pace of the pipeline restart and the stability of key supply routes.

Tags: Saudi Arabia, crude oil, export