Saudi Arabia's crude oil exports have surged to 6 million barrels per day in September, marking the highest level since the Iran war began seven months ago, according to Kpler. This increase represents an almost 80% rise from the 3.4 million bpd exported in August.
The surge comes despite the closure of the East-West oil pipeline due to damage from a drone attack, which had previously allowed Saudi Arabia to bypass the Strait of Hormuz amid Iranian threats to shipping. Following the pipeline's shutdown, Brent crude prices initially spiked to nearly $110 per barrel but have since stabilized as investor confidence grows regarding the situation's manageability.
The Saudis have redirected their exports back through the Strait of Hormuz, aided by U.S. military efforts to secure shipping lanes. Matt Smith, director of commodity research at Kpler, noted that the increase in exports through the Gulf is likely a response to the pipeline outage and indicates a growing confidence in navigating the Strait of Hormuz, despite ongoing risks.
Additionally, reports suggest that the East-West pipeline has restarted at low volumes, although Saudi Aramco's CEO Amin Nasser has not confirmed this publicly, only stating that interruptions to oil infrastructure are typically short-lived