Aramco Crude Deliveries Halted After Pipeline Attack

Saudi Aramco has informed at least two European refiners that they will not receive any crude oil in October due to disruptions caused by drone attacks on Saudi Arabia's East-West pipeline and Red Sea exports. The disruption follows a series of attacks that damaged three pumping stations, forcing the shutdown of the pipeline, which can carry around 4 million barrels per day to Yanbu.

The affected European refiners typically receive Saudi crude under term contracts that secure monthly supplies. However, Aramco has told some customers that their October deliveries will not proceed, according to people familiar with the matter. Poland's Orlen has since sought alternative supplies, including North Sea crude.

Aramco is working to partially restart the pipeline within days and restore full capacity within six weeks. To offset lower Red Sea shipments, Aramco has increased crude exports from the Gulf through ship-to-ship transfers off Oman's Sohar port. The company is using this route to move additional barrels outside the Strait of Hormuz.