Saudi Pipeline Outage Could Deepen the Global Fuel Crunch

The temporary closure of the key onshore pipeline Saudi Arabia uses to bypass the Strait of Hormuz has added another shock to an oil market already struggling with six months of Middle East supply disruptions. And the damage now appears to be more extensive than initially believed.

Three pumping stations along Saudi Arabia’s East-West pipeline were damaged in last week’s attack, Reuters reported on Thursday, citing satellite imagery and industry sources. Earlier assessments had identified damage at two stations.