Saudi Pipeline Shut Down Amid Drone Strikes Threatens Global Crude Supply
A key pipeline in Saudi Arabia has been shut down after drone strikes from Iraq, disrupting global crude supply and affecting international oil benchmarks. The East-West crude pipeline, which transports between four to five million barrels of crude per day, was halted as a precautionary measure following the attacks on September 10.
The shutdown threatens up to 4% of global crude supply and has sent Brent crude prices surging by 3.1% to $107.87 per barrel in Asian trading. The pipeline, known as Petroline, connects the Abqaiq processing hub in Saudi Arabia's Eastern Province directly to the Yanbu industrial port on the Red Sea.
The closure of the pipeline coincides with an escalation in southwestern Yemen, where Iran-aligned Houthi forces have captured strategic ports and advanced along shipping channels. This has compromised regional crude transit, entering its most precarious bottleneck since the 1973 oil crisis.