Saudi Pipeline Damage Sparks Fears of Higher Gas Prices in the US

A damaged Saudi oil pipeline and ongoing disruptions around the Strait of Hormuz are putting pressure on US gasoline and diesel prices. Analysts warn that the biggest increases could still be ahead, with the national average for regular gasoline already reaching $4.37 a gallon.

The damage to the 745-mile East-West pipeline, Saudi Arabia's main overland alternative to the Strait of Hormus, is estimated by Andrew Lipow to take one to two months to repair. The pipeline connects the country's eastern oil fields with export terminals on the Red Sea.

Economic measures against Iran have led to retaliation from the Houthis, resulting in attacks on Saudi oil infrastructure and gaining territory giving Iran influence over the Bab al-Mandab Strait. Analysts point out that additional vulnerable pumping stations along the East-West pipeline could be targeted again.