Signals emerge of a potential restart of Saudi Arabia’s East-West Crude Oil Pipeline; Yanbu Port expected to resume crude oil exports as early as this week.

On Tuesday, Bloomberg reported—citing informed sources—that Saudi Arabia is in the early stages of restarting its East-West Crude Oil Pipeline, with the aim of resuming crude oil exports via Yanbu Port later this week. Following the news, Brent crude extended its decline on Tuesday, falling below the $100-per-barrel threshold. Meanwhile, according to CCTV International News, Iranian President Masoud Pezeshkian departed Tehran aboard a special flight today (September 22) for New York to attend the high-level week of the 81st United Nations General Assembly. He is scheduled to deliver a speech during the General Debate on the morning of September 23 local time—i.e., tomorrow evening Beijing time. The convergence of these two developments marks a short-term shift in market sentiment. However, analysts caution that the pipeline’s restoration timeline remains uncertain, and whether U.S.-Iran negotiations will yield substantive progress remains undecided; it remains to be seen whether the geopolitical risk premium will continue to recede. Pipeline Restart: A Critical Route Diverting Flows from the Strait of Hormuz to the Red Sea The East-West Pipeline is Saudi Arabia’s core infrastructure for bypassing the Strait of Hormuz and transporting crude oil to Yanbu Port on the Red Sea. The pipeline was struck by drones launched from Iraq on September 10, damaging a pumping station and forcing Saudi Aramco to urgently reroute exports back to the Persian Gulf. Recently, numerous tankers have been loading at the Ras Tanura terminal. According to Bloomberg, Saudi Aramco has since been racing against time to partially restore throughput by bypassing the damaged pumping station, aiming to return the pipeline to full capacity within approximately six weeks. Multiple oil traders report signs of tankers arriving at Yanbu Port—an early indicator that pipeline operations are about to resume.

Saudi Aramco informally notifies Asian refiners that crude oil loading at Yanbu Port is set to resume shortly.

Saudi Aramco has sent informal signals to multiple Asian refiners indicating that crude oil loading at Yanbu Port is expected to resume soon. This marks the first time since the East-West Pipeline was struck by drones and forced offline in September that Saudi authorities have conveyed a clear expectation regarding supply restoration to buyers. Citing informed traders, Bloomberg reports that senior Saudi Aramco executives have provided informal assurances—without specifying exact timelines—to at least three Asian fuel processors that loading will soon restart. These sources emphasize that such communications were not formal notifications, and Saudi Aramco has declined to comment on the matter. Currently, some Asian refiners have already missed their scheduled loading windows at Yanbu Port due to the pipeline shutdown; their vessels are either anchored near the port or en route there. In contrast, European buyers face more severe disruption: last week, Saudi Aramco informed at least two European refiners that crude oil deliveries under long-term contracts for October would be fully suspended due to the pipeline damage—and this decision applies to all European buyers. East-West Pipeline Shutdown: Near-Cessation of Yanbu Port Supply The East-West Pipeline was shut down after being struck by drones launched from Iraq on September 10. Prior to the attack, the pipeline delivered approximately 4 million barrels per day to Yanbu Port. Since the shutdown, loading activity at Yanbu Port has nearly halted. Bloomberg reported last week—citing informed sources—that Saudi authorities are seeking to restore the pipeline to roughly half-capacity within several days and aim for full operational capacity within about six weeks. This 1,200-kilometer-long pipeline traverses the Arabian Peninsula, linking Saudi Arabia’s major eastern oilfields with Yanbu Port on the Red Sea coast. It serves as a critical conduit for exporting crude oil to Europe and Asia while bypassing the Strait of Hormuz. Originating near Abqaiq—the world’s largest crude oil processing facility—the pipeline crosses deserts and the Hijaz Mountains to reach the western coast. Of its total throughput, approximately 2 million barrels per day supply domestic refineries along the Red Sea coast. Asian Buyers Less Affected; European Customers Hit Hardest Following the pipeline shutdown, Saudi Arabia increased crude exports to Asia from the Persian Gulf’s Ras Tanura port. These cargoes transit the Strait of Hormuz and are delivered via ship-to-ship transfers in the Gulf of Oman—a workaround that has limited supply disruptions for Asian buyers. In contrast, European customers find themselves in a far more passive position.

Saudi Aramco Signals Oil Loadings Resumption at Yanbu for Asian Refiners

Sep 21, 2026

Saudi Aramco has informally assured Asian refiners they can resume oil pick-ups from Yanbu following East-West pipeline attacks, while European buyers face allocation cuts.

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