Saudi Pipeline Restarted After Houthi Strike

Saudi Arabia has successfully brought its East-West oil pipeline back into operation, a month after Houthi forces from Yemen knocked it offline with a missile attack.

The strategic pipeline carries crude from the Persian Gulf to the Red Sea. Houthi missiles struck and destroyed pumping stations along the route, halting the flow. Saudi engineers worked around the clock to bypass the damaged equipment, and the line is now operational again.

Most global oil transport relies on massive tanker ships. But Iran's closure of the Strait of Hormuz trapped Saudi crude inside the Persian Gulf, forcing the kingdom to find alternative export routes.

The East-West pipeline offered that solution, moving oil from the Gulf to Red Sea ports where tankers can load it and transit the Suez Canal to European markets. The route also circumvents the Bab el-Mandeb Strait in southern Arabia, which Houthi forces now control.

Oil's viscosity requires enormous pumps to push it through pipelines, especially across the vast distances separating Saudi Arabia's eastern and western coasts. The Houthis targeted and destroyed one of these pump stations, crippling the transfer system. Saudi engineers have now rerouted around the damaged section, though flow rates remain below full capacity.

Together with the pipeline restart, Saudi tankers have managed to cross the Strait of Hormuz under American naval protection, delivering millions of barrels to global destinations. The combined effect of these two developments is expected to ease pressure on oil markets and bring down prices, which surged past $100 per barrel last week.

Oil prices have since dropped to around $89 per barrel—still elevated, but 15% below last week's peak.