LONDON — Saudi Arabia will run out of oil stocks for exports if it does not restart its major East-West pipeline to the Red Sea within days, leading to a loss of up to 4% of global supply, Saudi oil buyers and traders told Reuters on Sunday.
Since Friday’s drone attacks forced Riyadh to shut the line, authorities have not given full details on damage or repair timelines. Industry sources gave estimates ranging from a partial restart sooner to five or six weeks for full repairs. Saudi Arabia’s government media office and energy ministry did not immediately respond to Reuters.
The pipeline has been rerouting about 4 million barrels per day — roughly 4% of global supply — to Yanbu after wartime disruption of the Strait of Hormuz. With the line offline, Yanbu has stocks to maintain exports for only five to seven days, three industry sources said. Additional stocks at Egypt’s Ain Sukhna and Sidi Kerir ports would also run down without resumed pumping.
Saudi oil supply already fell to a more than three-decade low in August, the International Energy Agency said Friday. Saudi Arabia told OPEC last week that August production dropped to 6.2 million barrels per day from 10.9 million in February before the war began.
Sources: Reuters
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