Riyadh has yet to respond to reports that it has cancelled or postponed crude oil deliveries to European refiners following last week's drone strikes on its East-West pipeline, leaving the full extent of the supply disruption unclear.
Energy pricing agency Argus reported on Tuesday that at least three European refiners had cargoes scheduled for late September either cancelled or pushed back, in some cases until November, citing unnamed market sources. Saudi Arabia's energy ministry announced a precautionary shutdown last Friday after the drone attacks, which targeted the pipeline in the Riyadh and Medina regions.
Saudi and Iraqi authorities have said the drones originated from Iraq. The ministry said technical teams were inspecting the pipeline but did not specify when pumping would resume. The pipeline carries crude from Saudi Arabia's eastern oilfields to the Red Sea port of Yanbu, allowing exports to bypass the Strait of Hormuz—a critical chokepoint for global oil shipments.
From Yanbu, tankers bound for Europe sail north towards the Suez Canal, with Egypt's SUMED pipeline offering an alternative route to the Mediterranean. Oil stored at export terminals can keep cargoes moving during a shutdown, but how long those stocks last depends on available volumes and the speed of pipeline repairs.
US Energy Secretary Chris Wright said on Tuesday that the pipeline interruption would be “measured in days,” offering some reassurance to markets. However, Saudi Arabia's state-controlled oil company Aramco did not respond to Euronews' request for comment at the time of publication.
Broader shipping risks loom
The pipeline attack comes amid heightened tensions across the region. The Saudi-led coalition said on Wednesday that it had intercepted a Houthi drone south of Mecca the previous evening, though the Houthis denied targeting the city. Last week, Yemen's Iran-backed Houthis took control of the Bab el-Mandeb strait after seizing the port of Mokha and nearby islands from Yemen's internationally recognised government.
Bab el-Mandeb lies south of Yanbu, on the direct route to Asia. Europe-bound tankers sailing north from Yanbu do not pass through it, but the strait is a vital passage for trade between Europe and Asia. Its closure would compound the disruption already affecting shipping through Hormuz, warned Qatar on Tuesday.
Ibrahim bin Sultan Al Hashmi, director of media and communication at Qatar's foreign ministry, told a briefing in Doha that losing access to Bab el-Mandeb would be “catastrophic for the entire world,” calling for international efforts to keep the waterway open. Meanwhile, Saudi Crown Prince Mohammed bin Salman and Egyptian President Abdel Fattah el-Sisi discussed the security of regional shipping routes in Cairo on Tuesday.
The uncertainty over Saudi supplies adds to a volatile energy landscape, with oil prices already under pressure from the Hormuz attack and the pipeline closure. European refiners, already grappling with tight margins, now face potential delays in crude deliveries, which could ripple through fuel markets across the continent.
Analysts note that the impact on Europe will depend on how quickly Saudi Arabia can restore pipeline operations and whether alternative supplies can be sourced from other producers. The situation remains fluid, and market watchers are closely monitoring any official statements from Riyadh.
