Saudi Pipeline Shutdown Threatens Up to 4% of Global Oil Supply
Saudi Arabia's major pipeline to the Red Sea has been shut down due to drone attacks launched from Iraq, threatening global oil supply. If it doesn't restart within days, Saudi will run out of oil stocks for exports, leading to a loss of up to 4 percent of global supply, according to Saudi oil buyers and traders.
The pipeline outage is the latest blow to an already strained global energy market. The US-Iran conflict has pushed fuel prices to record highs since its start, making every disruption in oil supply a significant concern for consumers and producers alike.
Estimates of how long it will take to repair the damage vary from 5-6 weeks to a quicker fix that could allow partial pumping while repairs are ongoing. Saudi Arabia has not given full details about the extent of the damage or how long the route will stay offline.