Oil trades around $94 as Saudi Arabia resumes key export route

  • Saudi Arabia resumed crude shipments through its East-West pipeline after repairing drone-strike damage.
  • 3.5 million barrels a day is flowing through the export system.
  • Mediators are expected to hold separate US and Iranian discussions Monday or Tuesday.

Crude oil pared earlier gains to trade around $94 a barrel on Monday after Saudi Arabia restarted shipments through its East-West pipeline, easing some supply concerns. The route was repaired following damage from drone strikes earlier this month, and about 3.5 million barrels a day of crude is now flowing through the system. Attention remains on diplomatic efforts to reopen the Strait of Hormuz, a vital oil-shipping passage, as mediators are expected to hold separate discussions with US and Iranian officials on Monday or Tuesday. Oil prices remain highly sensitive to negotiation headlines, which have repeatedly raised expectations of progress before stalling. Tehran said it was maintaining the proposal rejected by US President Donald Trump.

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