Bloomberg reports that Saudi Arabia has informed several European refiners that crude shipments scheduled for next month will be withheld, a move likely to push already-strained global oil prices higher.
The Guardian reported on September 14 that newly released commercial satellite images clearly show the extent of damage to a critical Saudi Arabian oil pipeline that handles roughly 15% of the kingdom’s crude exports. The images show multiple breaches and ongoing burn scars, with repairs expected to last several weeks. Combined with the postponement of Iran-Oman talks on Strait of Hormuz security and a recent uptick in Houthi attacks on Saudi energy infrastructure, international crude prices broke above $87 per barrel in Asian trading, hitting a four-month high. Major consuming nations including the United States, Japan and South Korea have begun emergency assessments of strategic reserve releases and alternative supply options, pushing global energy markets into a highly sensitive phase.