Hormuz is under "chokehold"! It is reported that Saudi Aramco plans to switch to the Red Sea port for self-rescue and breakthrough.

Caixin News, March 3 (Editor Zhao Hao) Latest reports indicate that Saudi Aramco is exploring plans to ship more crude oil through Yanbu port.

The day before, Iranian Revolutionary Guard Commander Jafari stated that any ships attempting to pass through the Strait of Hormuz would be destroyed, and Iran will not allow a single drop of oil to flow out of the region.

Currently, the Strait of Hormuz is closed, forcing dozens of ships to remain stranded. Yanbu is located on the central eastern coast of the Red Sea in western Saudi Arabia, the second-largest city on the country’s west coast after Jeddah, and is outside the Persian Gulf area.

Saudi Aramco usually exports most of its crude oil from ports in the Gulf region, but Middle Eastern conflicts have caused severe congestion of ships. However, the company has a pipeline with a daily capacity of 5 million barrels that transports oil from eastern fields to the western Red Sea coast.

Sources reveal that Saudi Aramco has asked some Asian customers whether they can switch to pickup at Yanbu. The company is also consulting with shipping companies to assess whether to change the loading point from the Persian Gulf to Yanbu.

It should be noted that the Red Sea is not entirely safe either. Yemen’s Houthi forces previously threatened to restart attacks on Red Sea shipping lanes. Although no new attacks have been reported, the risk remains significant, and some major shipping companies have canceled plans to return to this route.

Data shows that Saudi Arabia’s current crude oil production is about 10 million barrels per day, with exports rising to approximately 7.2 million barrels per day last month. However, the country’s 746-mile east-west pipeline still lacks the capacity to meet all overseas sales demand.

As Middle Eastern conflicts escalate, Saudi Aramco has been affected—after drone attacks, the company was forced to shut down the Ras Tanura refinery, the largest in the Persian Gulf.

Meanwhile, slowed maritime shipping has raised concerns that oil storage tanks could fill up quickly, potentially forcing Saudi Arabia to cut crude oil production.

Just before this report, Iraq began shutting down oil production at Rumaila oil field due to full storage facilities. Iraq also reduced crude output at the West Qurna 2 oil field by 450,000 barrels per day.