Saudi Arabia resumes oil pipeline flow

Saudi Arabia resumes oil pipeline flow

Saudi Arabia has resumed crude oil shipments through its East-West pipeline, easing concerns over disruptions to the kingdom’s oil exports following a drone attack earlier this month.

Commercial sources told a news agency that the pipeline has started pumping crude at a reduced rate as Saudi authorities gradually restore operations. The development is expected to support the resumption of crude exports through Yanbu port on the Red Sea.

Saudi Arabia is also preparing to restart crude oil loading operations at Yanbu, according to the sources. The port plays an important role in the kingdom’s export infrastructure and provides an alternative route for shipping crude to international markets without relying on the Strait of Hormuz.

Saudi Arabia halted the East-West pipeline on September 13 after a drone attack disrupted operations. The shutdown also forced the suspension of crude oil loading at Yanbu, raising concerns in global markets about potential supply shortages.

The pipeline, also known as the Petroline, transports crude from Saudi Arabia’s oil-producing regions in the east to the Red Sea coast. Its route allows the kingdom to move part of its crude exports directly toward global markets while bypassing the Strait of Hormuz.

News of the gradual restoration of the pipeline put downward pressure on international oil prices. Brent crude fell below the $100-per-barrel mark and was trading at around $98 a barrel as markets reacted to expectations of improved supply availability.

Market participants are closely monitoring the pace of the pipeline’s recovery and the timing of the resumption of crude loading at Yanbu. A full restoration of exports could further ease concerns over supply disruptions and reduce pressure on global oil prices.