Oil Pulls Back as Saudi Arabia Finds Alternative Export Route

Oil prices pulled back on Wednesday morning as Saudi Arabia found an alternative route to export crude through Oman, easing some fears of a severe collapse in exports.

The move comes after drone attacks damaged the East-West Pipeline and suspended loadings at Yanbu, leading to supply concerns that pushed both WTI and Brent above $100 per barrel on Tuesday.

However, the underlying transportation problem has not disappeared, with visible vessel transits through the Strait of Hormuz falling to just four on Tuesday from seven on Monday.

The market remains caught between alternative export arrangements and persistent physical supply risks, with refineries facing tight supplies of diesel and other refined products.