Oil loading at Saudi Arabia's Red Sea port of Yanbu has been halted following the Houthi strike on the East-West Pipeline, Reuters reports. The disruption is expected to last weeks as pumping stations require repair.
Reuters reported Tuesday evening that oil loading has ceased at Saudi Arabia's Red Sea port of Yanbu, following Houthi strikes on the East-West Pipeline. The port, a critical export terminal for Saudi crude, had been exporting millions of barrels daily. The disruption will continue for as long as it takes to repair damaged pumping stations along the pipeline.
As The Zioneer reported earlier today, oil loading was already halted following the weekend strike. Background reporting indicates that repairs may take five to six weeks, according to Reuters, potentially removing up to 4 million barrels per day from global supply—approximately 4% of world output. Saudi export reserves at Yanbu are sufficient for only five to seven more days at current rates, Reuters reported Sunday.
The strikes on the pipeline, which the Saudi government said originated from Iraq, are part of an escalating Houthi campaign to block Red Sea shipping and pressure Riyadh. Saudi Arabia has reportedly prepared a military response, including naval and ground operations in Yemen.
3 developments
- DevelopingUS State Department: Iraq, Syria sign agreement to restore oil pipeline
- StrongUS Energy Secretary acknowledges Iran has not reopened Hormuz; oil tankers rely on US Navy
- StrongSaudi Arabia says strike retaliates for drone attacks on oil facilities, warns of response to any aggression
- ConfirmedRubio: Saudi Arabia seeks 'peaceful, civil nuclear programme'
Source and signal
- Open-source intake