7 million barrels per day at full capacity! Saudi Arabia opens up a "detour lifeline" for oil.

According to informed sources, Saudi Arabia's crucial east-west oil pipeline (bypassing the Strait of Hormuz) is currently operating at its full capacity of 7 million barrels per day to transport crude oil. This milestone breakthrough signifies the significant effectiveness of Saudi Arabia's emergency plan to address the closure of the Strait of Hormuz, reinforcing a critical "lifeline" for global oil supply.

Spanning over 1,000 kilometers across the Arabian Peninsula, this pipeline connects large oil fields in eastern Saudi Arabia directly to the industrial port of Yanbu on the Red Sea coast in the west. Its core function is to ensure uninterrupted oil exports when the primary export route through the Strait of Hormuz is blocked. Currently, a large number of oil tankers have redirected to Yanbu Port to load crude oil, with approximately 5 million barrels per day of crude oil being exported through this port. Additionally, Saudi Arabia exports 700,000 to 900,000 barrels per day of refined oil products via this port.

Of the 7 million barrels of crude oil transported daily through the pipeline, about 2 million barrels are directed to domestic refineries in Saudi Arabia, while the remaining 5 million barrels are allocated for export—this export volume now accounts for the majority of Saudi Arabia's pre-war total daily exports of approximately 7 million barrels, significantly alleviating the supply gap in the country's oil exports.

As early as the beginning of March, Saudi Aramco CEO Amin Nasser predicted during an earnings conference call that, as customers adjusted their shipping routes, the east-west pipeline would reach its full capacity of 7 million barrels per day in the coming days. This expectation has now been realized.

From a global energy perspective, while this bypass route plays a crucial role, it can only partially compensate for the supply gap caused by the closure of the Strait of Hormuz. It is reported that before the outbreak of the war, approximately 15 million barrels of crude oil were transported daily through the Strait of Hormuz, which handles about one-fifth of the world's oil and liquefied natural gas supply. Industry insiders note that the full-capacity operation of this "backup channel" has prevented oil prices from soaring to the extreme levels seen during previous supply shocks.

However, new risks are emerging. As Yemen's Houthi forces have announced their involvement in the war, there is widespread concern that the Red Sea could become a new frontline for conflict. Although the Houthi forces have not explicitly stated intentions to attack oil tankers in the Red Sea and the Bab el-Mandeb Strait, the group has previously used drones and missiles multiple times to threaten shipping security in the region, posing potential risks to crude oil exports.

In fact, Saudi Arabia has been preparing for decades for the worst-case scenario of a closure of the Strait of Hormuz. The east-west oil pipeline was initially built during the Iran-Iraq War in the 1980s, a period when ships were attacked in the Strait of Hormuz, though the scale and impact were far less severe than the current "near-closure" state caused by the ongoing conflict. Within hours of the first U.S.-Israel strikes on Iran, Saudi Arabia swiftly activated its emergency plan, continuously enhancing the pipeline's transport capacity, demonstrating the stability of its energy supply and its emergency response capabilities.

It is worth noting that due to disruptions in shipping through the Strait of Hormuz, crude oil prices had previously surged to over $100 per barrel. However, in recent days, traffic through the strait has gradually recovered compared to the early stages of the war. Latest reports indicate that a small amount of Saudi crude oil is being transported along the Iranian coastline through the Strait of Hormuz, destined for Pakistan. Media tracking data shows that last Saturday, seven vessels departed the Persian Gulf, including one crude oil tanker, two liquefied petroleum gas carriers, and four bulk carriers, indicating initial signs of a recovery in shipping.