Saudi Restores Half of East-West Pipeline Capacity, WTI Drops Below $90
Saudi Arabia restored about half of the capacity of its East-West pipeline, which bypasses the Strait of Hormuz, easing supply concerns and pushing WTI below $90 per barrel. The partial restoration reduces but does not eliminate the risk of a full Hormuz closure, leaving sentiment mixed. The move signals Saudi ability to mitigate disruptions, but the remaining capacity gap and geopolitical tensions keep the market on edge.
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Saudi East-West Pipeline Resumes Partial Flow Amid Persistent US-Iran Stalemate
Saudi Arabia has partially restored crude flow through its East-West pipeline and resumed loadings at Yanbu following repairs from a drone attack. This action, coupled with continued clandestine transit through the Strait of Hormuz, has eased immediate supply concerns, but persistent US-Iran diplomatic stalemate and the pipeline's partial capacity restoration maintain market volatility and geopolitical risk.