Saudi Aramco Loads Record Volumes Amid Pipeline Disruptions

Saudi Arabia has boosted its oil exports in the Gulf after a drone attack forced the country to shut down part of its East-West pipeline. On Sunday, Saudi Aramco loaded around 14 million barrels of crude oil onto seven giant tankers at the port of Ras Tanura.

The loading of these Very Large Crude Carriers (VLCCs) signals a partial recovery in Saudi oil shipments after the attack on the East-West pipeline, which had halted operations and led to the cancellation of some crude oil sales to European customers. Instead, Aramco increased sales to Asia using oil loaded from ports in the eastern region.

Satellite data shows that average Saudi oil shipments through the Strait of Hormuz have reached around 2.9 million barrels per day over the previous six days, sharply up from around 700,000 barrels per day in August. This increase suggests Saudi Arabia has begun redirecting oil shipments from the Red Sea route to export terminals in the Gulf region.

As a result of the pipeline attack and shift in shipping routes, Brent crude fell below USD 100 a barrel for the first time since 9 September on Monday (21/9). Despite these disruptions, Saudi Arabia has managed to maintain the flow of oil exports, with some sales even being redirected through ship-to-ship transfers at the port of Sohar, Oman.