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2026-09-16 13:54:08
[Saudi Arabia ramps up spot sales outside the Strait of Hormuz after pipeline closure, selling about 20 million barrels of crude oil to Asia] (1) Saudi Arabia is ramping up spot sales of crude oil from outside the Strait of Hormuz after the closure of its east-west oil pipeline, which previously transported crude oil to the Red Sea coast. The closure disrupted cross-border transport. (2) According to informed traders, Saudi Aramco has sold about 20 million barrels of crude oil to Asian refiners this week, which can be picked up this month and next month from outside the Strait of Hormuz. (3) Buyers include independent refiners and other importers in East Asia. The global oil market is watching the impact of the pipeline shutdown. (4) The pipeline was Saudi Arabia’s main way to bypass the turmoil in the Strait of Hormuz caused by the war with Iran. The pipeline was closed after an attack last week, and officials have not said when it will resume operation. (5) Traders say that the spot cargoes sold by Saudi Aramco were loaded from the Gulf of Oman in September and October on a ship-to-ship basis. (6) This means that although the crude oil still needs to pass through the Strait of Hormuz, the buyer is not responsible for this segment of the voyage, given the pick-up location.
