The Iran-backed Houthi rebels in Yemen reportedly hit Saudi Arabia’s east/west pipeline with drones. President Trump did not strike the Houthi’s. Despite knowing oil prices would jump, President Trump told Saudi Crown Prince Mohammed bin Salmon to approach the issue carefully.
Reuters, citing an Axios report based on two US officials, said Crown Prince Mohammed bin Salman called Trump twice on Thursday and pressed for military action. Trump rejected the request, according to the report.
Why would President Trump ‘not’ strike back against the Iran-backed Houthi rebels, knowing the drone attack on the Saudi pipeline would only worsen the oil issue? Well, you won’t read this anywhere else…. However, if Saudi Arabia shut down the east/west pipeline for a while (they just did), then the oil flowing to the Red Sea that ends up in Europe would be halted (it just was).
Think about it. All of a sudden Europe cannot get oil from Mohammed bin Salmon. So, how does that change the dynamic of President Trump’s desired leverage toward Europe in his approach to bringing Russian oil back into the market.
I hope everyone can see the dynamic. All of a sudden that Russian oil Europe hates so much, turns into dependency leverage against EU antagonisms against solving the Ukraine-Russia conflict. This is not happening accidentally.
Oil Price News – Saudi Aramco has canceled or delayed crude deliveries to European refiners after the shutdown of the kingdom’s East-West pipeline cut into one of its remaining routes around the Strait of Hormuz.
At least three European refiners have had late-September cargoes canceled or pushed as far out as November, according to market sources cited by Argus. Two more expect notices covering September supplies.
The 7-million-bpd East-West pipeline has been offline since a September 10 attack. The pipeline carries crude from eastern Saudi oil fields to the Red Sea port of Yanbu, bypassing Hormuz.
One market source told Argus that every Saudi cargo scheduled for the final 10 days of September could be at risk. The same source estimated that Yanbu had roughly five days of crude inventories remaining. Argus could not independently confirm that estimate, and Aramco declined to comment.
In August, Bloomberg had reported that Aramco would supply full contractual crude volumes to at least three European refiners for September.
But no Saudi crude has departed Yanbu since September 11, according to Vortexa data cited by Argus. (read more)
Essentially, the Houthi “attack” on the Saudi pipeline just shut down oil going to Europe.
Europe needs oil. This is not an optional dynamic.
Russia has the oil that Europe now desperately needs.
Suddenly, the geopolitical dynamic has shifted, as an outcome of the economic/energy dynamic shifting, at a very opportune time for President Trump to hold optimal leverage to get Europe to reconsider their opposition to a Russia-Ukraine ceasefire.
.
Are you sure it was the Houthi’s who hit the pipeline?
“Are you sure it was the Houthi’s who hit the pipeline?” No, I am not. Just like Nordstream 2. I don’t even know the “Houthi’s” exist except on paper.
I agree. I only believe in ONE single group. I know, deep in my heart, there are Who’s down in Whoville.
“Europe has lost substantial diesel and jet-fuel supply from the Middle East, while ongoing tensions in Eastern Europe have disrupted output at several major Russian refineries and prompted Moscow to restrict fuel exports.”🤷🏻♂️
Sept 16 (Reuters) – Oil prices fell on Wednesday as reports that Saudi Arabia was offering additional crude cargoes via Oman eased concerns about the scale of Middle East supply disruptions, while European diesel prices hovered near a record high.
Saudi Arabia is offering more loadings of crude oil to Asian refiners via ship-to-ship transfer off Oman’s Sohar port after drone attacks damaged its key oil pipeline to the Red Sea, people familiar with the matter said.
Brilliant.
Does or did
the price that eee uuu pays, or paid, for importing me oil
also
include an agreement to import ( via open border and double stds on laws )
of illegal immigrants?
hmm..
I do not know
People know
The problem could be particularly acute for Europe🤣, which is simultaneously facing another supply disruption in Libya.
Libya’s National Oil Corporation (NOC) said on Tuesday that production and operations had been halted at the Hamada and Al-Tahara fields and the NC5 station after members of the Petroleum Facilities Guard forcibly closed a valve on the main Hamada-Zawiya pipeline. The closure triggered a sudden pressure increase at the Tahara connection point and forced all three sites offline.
The NOC warned that it could declare force majeure if the valve remains closed or if forced shutdowns spread to other fields, saying prolonged disruptions would damage Libya’s economy and its reputation as a reliable energy supplier.
Isn’t the timing amazing.
Russia loaded its first tanker out of its new port on the Arctic just last week.
Now get rid of that little parasite Zalenskyy.
The poisonous gnome zed seems untouchable like dear dr. fauxi.
The day is coming.
President Trump is really quite amazing. Too bad he doesn’t get the credit he deserves.