The drone attacks at Saudi Aramco’s Abqaiq plant and Khurais oil field knocked out more than half of the firm’s daily output which is 5 % of the global crude supply. Recent news reports have now stated that the Saudi oil major will fully restore production at both the plants by the end of September.
Saudi Arabia – On September 14, a major fire broke out at the world’s largest oil refinery in Saudi Arabia. News reports state that drones were used to attack Saudi Aramco’s two plants – Abqaiq oil processing facility and the Khurais oil field in the Gulf country. Yemen's Houthi rebels claimed responsibility for the attack and announced that it was in response to the Kingdom’s attacks in Yemen, cite news sources. However, the US and Saudi officials have rejected their claim and instead are pointing fingers at Iran.
Earlier, Saudi Aramco had confirmed the attacks and stated that the drone attack knocked out more than half of its entire daily output close to 6 million barrels of oil which is 5 % of the global crude supply. According to the latest news reports, Saudi Aramco President & CEO Amin Nasser said, “The company’s production capacity, suspended earlier due to terror attacks on its plants at Abqaiq and Khurais, would be fully restored by the end of September.” He further added that the Abqaiq plant has restarted and is now processing about 2 million barrels a day.
The minister and CEO also assured customers that the company’s crude exports won’t be reduced this month as it will use its strategic reserves to offset the loss of production.
However, global oil prices remain elevated along with the tensions in the Middle East.
On the entire oil crisis episode, Qatar-based news channel, Al Jazeera mentioned that oil markets had never seen a shut down on this scale since Iraqi troops invaded Kuwait to start the first Gulf War in 1990.