Aramco Bypasses Hormuz with Private Crude Deliveries

Saudi Aramco has begun offering its crude oil to Asian refiners through private negotiations, bypassing the Strait of Hormuz. This move is part of a strategy adopted by United Arab Emirates' Abu Dhabi National Oil Co (ADNOC) to supply crude via ship-to-ship transfers off Fujairah in the UAE.

The offers are for September loading and include Arab Medium and Arab Heavy crude, which will be transferred from Fujairah. It is not clear how Aramco has moved its cargoes out to Fujairah.

This decision comes as a response to the prolonged disruption to the Strait of Hormuz due to the U.S.-Israeli war on Iran and attacks on vessels by Yemen's Houthis, which have curtailed Aramco's market share in key consuming markets such as India.