Middle East oil exports surpass pre-war levels despite Hormuz attacks

Middle East oil exports, excluding Iran, have surpassed pre-war levels for the first time since the conflict began in February, according to data from maritime tracking firm Kpler. Last week, the weekly average of shipments rose above the pre-conflict average of 18 million barrels per day, reaching at least 16.5 million barrels. This rebound comes despite ongoing attacks on ships in the Strait of Hormuz, a critical waterway for global petroleum supplies.

Kpler reported that 40% of oil shipments are now bypassing Hormuz, with most crude changing tankers offshore. Saudi Arabia and the United Arab Emirates have been utilizing pipelines to redirect oil through the Red Sea, avoiding the blockade imposed by Iran. The Red Sea route has become increasingly important as an alternative to Hormuz, where around a fifth of the world's petroleum supplies crossed before the conflict.

Despite the recovery in export levels, experts caution that the situation remains abnormal. Iran continues to face a US counterblockade on its ports, significantly limiting its own oil exports. Saudi Arabia's East, West pipeline, which connects its main oil fields to the Yanbu terminal on the Red Sea, resumed operations on September 22 after being shut down on September 11 due to strikes launched from Iraq.

Oil prices saw a decline on Monday, with Brent North Sea crude for December delivery falling 0.79% to $101.44 a barrel, and West Texas Intermediate for November delivery dropping 1.20% to $90.02.