Saudi Arabia pipeline closure puts more than 4 million barrels daily at risk

  • Saudi Arabia closed the East-West pipeline, redirecting additional crude volumes toward the Strait of Hormuz.
  • More than 4 million barrels a day of crude export capacity is at risk.
  • Global oil inventories have fallen around 1 billion barrels amid the Middle East conflict.

Saudi Arabia’s closure of the East-West pipeline has placed more than 4 million barrels a day of crude export capacity at risk and redirected additional volumes toward the Strait of Hormuz. Analysts warn that oil prices could rally sharply if the pipeline remains offline beyond an estimated five-to-seven-day inventory cushion. Global oil inventories have already declined by around 1 billion barrels, leaving the market with less capacity to absorb further supply disruptions linked to the Middle East conflict.

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