Saudi Arabia's East-West pipeline shut down completely on Sept. 10 after drone attacks by Iraqi militias. The 1,200-kilometer line carries 7 million barrels a day and bypasses the Strait of Hormuz, a critical alternative to the chokepoint.
Saudi Aramco is working to restore 50 percent capacity within days by bypassing damaged sections, with full restoration targeted in six weeks.
The shutdown immediately pressured crude markets. Brent crude climbed above $107 per barrel following the attack, up from earlier month highs above $100 tied to Houthi threats against Red Sea shipping.
Saudi Aramco has deployed two mitigation tactics: rerouting exports and accelerating sales from alternative terminals. The company sold approximately 20 million barrels to Asian refiners this week with delivery scheduled for September and October, prioritizing markets with shorter shipping distances.
European refiners face longer logistics chains and steeper price impacts. Poland's Orlen SA has purchased replacement cargoes from alternative sources to offset the Saudi disruption, signaling the market's reliance on the East-West line for European supply chains.
The attacks reflect a broader campaign. Yemen-based Houthi militants, an Iran-backed group, have launched repeated strikes against Saudi energy infrastructure and Red Sea shipping this month.
The six-week restoration window creates a measurable test of Saudi Arabia's ability to absorb geopolitical shocks. Partial capacity within days suggests the damaged section is circumventable rather than requiring full reconstruction—a structural advantage that limits the duration of the supply shock relative to alternative pipeline architectures.
