Saudi Aramco Pipeline Attack Disrupts European Oil Supplies

Saudi Aramco has informed European customers that they will not receive any oil in October under their long-term contracts due to an attack on a key pipeline. The East-West pipeline, which runs to the Red Sea, was shut down after a drone attack from Iraq. Saudi Arabia's Foreign Ministry confirmed that the drones were launched from Iraq.

Aramco expects to restart part of the pipeline within a few days and bring it back to full capacity within six weeks, according to sources. European buyers normally receive Saudi oil under long-term contracts, which provide steady monthly deliveries. The lack of Saudi crude in October will increase European refiners' need to seek alternative supplies.

The attack on the pipeline has significant implications for global energy markets. European refineries are likely to face difficulties sourcing alternative oil supplies, which could lead to price increases and disruptions in fuel production.