Saudi oil output falls to lowest in decades amid fallout from US war on Iran

The Saudi Arabian oil output has dropped to its lowest level in decades amid the fallout from the war the United States has imposed on Iran.

Reports on Friday by the Organization of the Petroleum Exporting Countries (OPEC) said Saudi Arabia's crude oil production in August plunged to its lowest level since 1990.

The oil production at 6.24 million barrels per day marks Saudi's lowest reported level since 1990.

According to OPEC reports Saudi production fell by around 1.9 million barrels per day from 8.1 million barrels per day in July,

Saudi production had stood at 7.1 million barrels per day in June before recovering sharply in July, but the rebound was reversed in August.

The decline came despite plans by Saudi Arabia and other members of the wider OPEC+ producer group to increase output during the month.

Saudi Arabia nevertheless supplied 7.1 million barrels per day to the market in August, according to its direct communication with OPEC, significantly above its reported production of 6.24 million barrels per day.

Analysts attribute the production decline to the prolonged US war on Iran that continues to disrupt energy flows across the Persian Gulf shipping route.

The Strait of Hormuz has increasingly become a key arena in the US war on Iran, prompting Tehran to assert greater control over maritime activity in and around the strategic waterway.

IRGC targets 2 US naval vessels, 8 tankers and 10 ships in retaliatory strikes

The IRGC targets two US vessels and ships attempting to pass through the prohibited zone of the Strait of Hormuz.

Saudi Arabia's alternative oil route through the Red Sea has come under growing pressure after Yemeni forces declared a maritime embargo on July 20, in response to a years-long Saudi siege on the country.

Yemeni forces staged attacks on Saudi-linked vessels and energy facilities, including infrastructure around Yanbu and the Jazan refinery, prompting tankers to switch off their Automatic Identification System (AIS) signals to reduce exposure to attacks.

Ship-tracking data showed a sharp deterioration in Red Sea flows during August. Saudi crude and condensate loadings from Yanbu fell to a six-month low, according to Kpler and Vortexa.

Vortexa estimated August loadings at 3.2 million barrels per day, while Kpler put them at just 1.5 million barrels per day.

The tightened global crude supplies and added pressure on oil prices resulted in Brent crude climbing to above $100 per barrel.

Press TV’s website can also be accessed at the following alternate addresses:

www.presstv.co.uk