Saudi Aramco Cancels European Crude Deliveries Amid Pipeline Shutdown

Saudi Aramco has canceled or delayed crude deliveries to several European refineries due to the shutdown of its East-West pipeline. The 7-million-bpd pipeline, which carries crude from eastern Saudi oil fields to the Red Sea port of Yanbu, bypassing the Strait of Hormuz, has been offline since a September 10 attack.

At least three European refiners have had late-September cargoes canceled or pushed as far out as November. Two more expect notices covering September supplies.

The East-West pipeline was one of Saudi Arabia's most important alternatives to constrained Persian Gulf exports. Its shutdown is now affecting European term customers in the form of missing barrels.

Poland's Orlen, which relies on Aramco for around 40% of its crude, is already buying replacements through spot tenders. The company has purchased North Sea grades including Grane and Johan Sverdrup, as well as U.S. WTI Midland and Kazakhstan's CPC Blend.