Houthi Threats Cut Saudi Arabia's Red Sea Oil Exports

Saudi Arabia's oil exports through the Red Sea are declining due to the threat of attacks by Yemen's Houthi rebels. The Houthis announced a maritime embargo against Saudi Arabia on July 20, and since then, they have claimed attacks on tankers linked to Saudi Arabia, as well as oil facilities in Yanbu and the Jazan refinery on the Red Sea coast.

As a result of the threat, an increasing number of vessels are making 'dark voyages' by switching off their automatic identification system (AIS), which makes it difficult to track their location. Analysts report that all recent oil loadings in Yanbu took place without a continuous AIS signal, leading to differing estimates of export volumes.

According to Vortexa, oil loadings in Yanbu fell to 2.38 million barrels per day from 2.71 million a week earlier. Kpler estimates the decline at 1.78 million barrels per day, while AXSMarine recorded an increase to 850,000 barrels.

Saudi Arabia is increasing the transportation of oil northward through the Red Sea, the Suez Canal, and Egypt's SUMED pipeline. Vortexa reported that last week, the average volume of crude oil and condensate loaded at Egypt's Sidi Kerir reached a record 2.17 million barrels per day, with about 90% consisting of Saudi oil.