Saudi pipeline shutdown may lead to 6 million bpd oil deficit
after close1 source ↓written by the desknot a recommendation
- during September
- 6 million bpd oil deficit
- in August
- 3 million bpd
HSBC estimates that the shutdown of Saudi Arabia's East-West pipeline could create a 6 million bpd oil deficit during September and October. The pipeline is expected to be offline for three to five weeks due to repairs following an attack.
This outage is a significant concern as it comes amid declining Saudi oil exports, which fell to 3 million bpd in August. Oil prices have already reacted positively to the news, indicating potential volatility in the market.
Not investment advice. For informational purposes only.