MacroEnergySaudi Arabia Is Burning Through Its Own Stockpile to Hide a Production Collapse
Saudi Arabia Is Burning Through Its Own Stockpile to Hide a Production Collapse
Riyadh told OPEC its August crude output fell 1.9 million barrels a day to 6.238 million b/d, the lowest since 1990. Yet supply to market held near 7.1 million bpd because Saudi Arabia’s oil supply to the market reached 7.122 million barrels per day in August, surpassing its production — a sign it’s drawing on inventories to sustain deliveries amid Hormuz and Red Sea disruptions. That buffer isn’t infinite. If both export routes stay squeezed into October, the next OPEC filing could be the one that finally breaks.
#SaudiArabia #OPEC #CrudeSupply #OilExports #RedSea
Iran-Aligned Forces Now Control Both Oil Chokepoints Flanking the Arabian Peninsula
The Houthis captured the strategic Perim Island in the Bab al-Mandeb Strait on Friday, a day after seizing the port town of Mocha, effectively completing their rapid push to take control of Yemen’s Red Sea coastline. Combined with Iran’s Hormuz blockade, Tehran-aligned forces now flank corridors handling more than one quarter of seaborne crude oil and petroleum trade. Saudi Arabia’s Red Sea workaround — its last major export lifeline since Hormuz seized up — now sits inside Houthi missile range.
#Houthi #BabElMandeb #RedSea #CrudeSupply #SaudiArabia
Trump’s Own Advisers Just Torched His Eight-Week Oil-Price Promise
Trump told reporters this war will end immediately after our election. Behind closed doors, Vice President JD Vance and Secretary of State Marco Rubio have privately warned him the conflict could extend through the remainder of his presidency, potentially past January 2029. Update: this directly undercuts the midterm pump-price timeline the administration floated days ago. If the people running the war won’t bet on a fourth-quarter resolution, refiners and hedgers shouldn’t be pricing crude off one either — plan for a multi-year floor.