Arab Finance: Saudi Aramco introduced additional crude cargoes for loading from Egypt's Mediterranean port of Sidi Kerir amid escalating security risks in the Red Sea, Reuters reported, citing five trading sources.
Such a move comes after the Houthi group threatened to target Saudi oil shipments transiting the Bab el-Mandeb Strait, raising concerns over the security of southbound crude exports.
Two of the sources revealed that the Saudi cargoes are shipped to Egypt's Ain Sokhna port on the Red Sea before being transferred via the Suez-Mediterranean pipeline to Sidi Kerir. They are being offered on a spot basis, supplementing supplies to Aramco's long-term customers.
Reuters could not confirm the volume and pricing of the additional cargoes, while Aramco declined to comment on the matter.
The Saudi oil giant already supplies customers in Europe and North America through Sidi Kerir. However, the increased spot availability suggests the group is expanding its export options following Houthi threats to attack Saudi crude shipments passing through the Bab el-Mandeb Strait.
It is worth highlighting that Saudi Arabia had already increased crude exports via its Red Sea port of Yanbu since the Iran-US conflict led to disruptions to Gulf exports via the Strait of Hormuz.
