Oil Prices Rise Above $108 Amid Saudi Pipeline Closure
Brent crude prices climbed above $108 a barrel on September 15, 2026, as uncertainty grew over the reopening of Saudi Arabia's East-West Pipeline. The pipeline was shut down following drone attacks from Iraq last week and remains closed without an official timeline for resumption. Additional supply concerns arose due to Houthi strikes in Yemen and suspended oil loadings at Saudi Arabia’s Red Sea export terminal. The closure has disrupted a key route that bypasses the Strait of Hormuz, with the pipeline capable of transporting up to 7 million barrels per day. Meanwhile, Libya's National Oil Corporation also halted operations at three fields due to internal disputes, adding further pressure on oil markets. U.S. diesel prices hit record highs as well, reaching $6.23 per gallon. Goldman Sachs' senior commodity strategist noted that ongoing attacks increase the likelihood of Brent crude exceeding $120 in price scenarios.
Topics: geopolitical_conflict oil_prices supply_chain_disruption