Saudi Arabia wants to send 10 million barrels of oil a day around Hormuz. A former Treasury official says it may barely move prices
Source: Fortune ·
Aramco CEO Amin Nasser says the East-West pipeline will grow by 3 million barrels a day, but the expansion will take two to three years, and the line has been hit by drones repeatedly this year.
From the source
Saudi oil giant Aramco, officially the Saudi Arabian Oil Company, is racing to build a bigger back door around the Strait of Hormuz. Aramco CEO Amin Nasser said this week that the company is working to raise the capacity of its East-West Crude Oil Pipeline, also known as the Petroline, to 10 million barrels a day from about 7 million today, while running engineering studies on additional export routes. Nasser made the comments to Al Arabiya Business in his first interview since the war began. The plan echoes an announcement earlier this month from Saudi Energy Minister Prince Abdulaziz bin Salman, who told the WPC Energy Congress in Riyadh that the expansion would take two to three years. The goal is to reduce the kingdom’s reliance on the Strait of Hormuz, which has been largely choked off since the U.S. and Israel launched a joint military attack on Iran on Feb. 28. Saudi crude production fell below 7 million barrels a day for much of the war’s first six months, down from more than…