Saudi Crude Decline Can't Dampen Hormuz Tanker Traffic

Oil production in Opec-plus countries declined in August due to a significant drop in Saudi crude output. Despite this, tanker traffic in the Strait of Hormuz remained resilient, providing a lifeline for Middle East Gulf producers to reach global markets.

The overall group output fell to 33.2 million barrels per day (b/d) in August, down 1.3 million b/d from July. However, this figure is still higher than the dismal level seen in April and May.

The 'dark transit' of oil through the Strait of Hormuz, often under cover of night with US naval escort, has proven to be a vital route for producers to kick-start idled wells.