Shunichi Kito, chairman of the Petroleum Association of Japan, said at a press conference on the 18th that it is not known how much damage was caused by the attack on the crude oil pipeline linking eastern and western Saudi Arabia, nor how long repairs will take. The pipeline is growing in importance as a procurement route for Middle Eastern crude that does not pass through the Strait of Hormuz, which remains effectively blockaded, and Kito stressed that he hopes it will be restored as soon as possible. Meanwhile, he disclosed that crude procurement arrangements for oil wholesalers are secured through November. He expressed the view that, with alternative procurement progressing even as the Middle East conflict drags on, there is no need for now to release oil from reserves.
Pipeline attack disrupts a key Middle East crude route bypassing the blockaded Strait of Hormuz, supporting Brent supply risk.
Attack on Saudi east-west crude pipeline threatens supply and repairs are of unknown duration, tightening oil supply.
