Saudi Oil Pipeline Shutdown Brings Fresh Supply Risks

The global oil market is facing fresh supply risks after Saudi Arabia's major East-West crude pipeline was shut down following attacks. The pipeline, which runs across the kingdom and carries up to 7 million barrels of oil a day, has been closed until repairs are completed. Officials say this could take three to five weeks.

The pipeline disruption adds pressure to global oil supply, as it is key to Saudi Arabia's strategy of shifting its oil exports to the Red Sea to avoid the Strait of Hormuz. The move was prompted by an attack that Saudi Arabia blamed on drones from Iranian-backed militias in Iraq last week.