Saudi Aramco May Resume Yanbu Crude Loadings After Pipeline Attack

Saudi Aramco has informally told at least three Asian refiners that crude loadings at Yanbu port could resume soon, potentially easing supply pressure after drone attacks disrupted the East-West pipeline. The September 10 drone attacks, launched from Iraq near the Iranian border, shut down the 750-mile pipeline that feeds crude from Saudi oilfields to the Red Sea port. Saudi Arabia has since hiked shuttle-shipping through the Strait of Hormuz and cut off Europe for October loadings from Yanbu. Repairs on the pipeline could take three to five weeks, though Aramco targets partial operations at half capacity within days and full capacity in about six weeks. A recovery of Yanbu loadings could ease market concerns about Saudi supply to refiners seeking high diesel margins.