Saudi Arabia Returns to Strait of Hormuz for Oil Shipments Following Pipeline Disruption

Due to a pipeline disruption, Saudi Aramco has sold approximately 20 million barrels of crude oil to Asian refiners for delivery just outside the Strait of Hormuz in September and October.

Pipeline Disruption and Spot Sales

According to sources, Saudi Aramco this week sold approximately 20 million barrels of crude oil to Asian refiners for delivery just outside the Strait of Hormuz this month and next month.

Buyers include Chinese state refiners and independent processors, as well as other importing countries in East Asia.

Postponement of Red Sea Shipments

Following the pipeline disruption, Aramco postponed shipments to some European customers from the Yanbu port on the Red Sea, located at the western end of the pipeline.

Meanwhile, Asian refiners requested detailed information from the energy giant regarding the current status of future loadings from the Red Sea port.

Method of Shipment Execution

Market traders reported that the spot cargoes sold by Saudi Aramco will be shipped via ship-to-ship transfer from the Gulf of Oman throughout September and October.

According to the information provided, the crude oil cargoes will still need to pass through the Strait of Hormuz, but buyers will not be responsible for this part of the journey due to the location of the delivery point.

No Statement from the Company Yet

While these developments and shipment arrangements are closely monitored in global energy markets, Saudi Aramco has not yet made an official statement on the matter.