Saudi Oil Takes African Detour Amid Houthi Threats
Saudi oil bound for Asia is taking a detour around Africa due to Houthi threats, forcing Aramco and its customers to sail along increasingly costly routes. The disruption stems from the kingdom's Red Sea export channel becoming a perilous path.
The Houthi group has been targeting Saudi Arabia's oil infrastructure, including strikes on Aramco's refinery complex in Jazan. As a result, tankers loading at Yanbu head north through Egypt's Suez Canal instead of south through the Bab el-Mandeb channel.
The detour adds around 17,000 miles to the journey, significantly increasing costs for oil shipments. Aramco and its customers are being forced to adapt to this new route, which is a result of Houthi threats making the Red Sea export channel a high-risk passage.