Saudi Pipeline Shut Down Amid Middle East Conflict
Saudi Arabia has temporarily shut down its East-West pipeline after it came under aerial attack in the escalating Middle East conflict.
The pipeline, which runs for over 1,200 km across the Arabian Peninsula, had been moving around 4-5 million barrels per day - roughly 4-5% of global supply. The Saudi Energy Ministry said it was shut down as a precautionary measure, but there is no immediate word on when it will be reopened.
The attack, which both Baghdad and Riyadh blamed on Iranian-backed militias in Iraq, has sent oil prices soaring. US President Donald Trump weighed in, suggesting that Iran was likely responsible for the strike, and predicted that oil prices would drop once his country's war with Iran is resolved - although he did not provide a timeline.
The closure of the pipeline comes as tensions between the US and Iran continue to escalate. The Strait of Hormuz has seen slowed tanker traffic due to the six-month conflict, and oil prices have surged in recent weeks.