Saudi East-West Pipeline Reopens After Nine-Day Shutdown
Saudi Arabia has restarted its East-West oil pipeline after a nine-day shutdown caused by drone attacks, restoring a key route used to bypass disruptions in the Strait of Hormuz. The pipeline was initially operating at a low rate while Saudi Aramco sought to restore flows to about 4 million barrels per day (bpd), which accounts for around 4% of global oil supply.
A security source estimated that a full resumption could take weeks, but crude supply to Aramco's Red Sea refineries will resume soon. A cargo bound for China is scheduled to load at Yanbu later on Tuesday. Tankers were being moved to Egypt's Port Said and Sidi Kerir ahead of renewed Saudi loadings.
The restart has driven selling in global oil markets, with Brent crude futures falling more than $2 a barrel to their lowest level since September 8.