Saudi Arabia is shifting oil exports through Egypt’s Sumed pipeline as attacks in the Red Sea threaten traditional shipping routes. The move highlights growing pressure on Middle East energy flows as Riyadh seeks alternatives to vulnerable maritime chokepoints.
Saudi Arabia increases Mediterranean oil exports
Saudi oil exports through Egypt’s Mediterranean port of Sidi Kerir have more than doubled in August, reaching approximately 2.3 million barrels per day compared with around 1 million barrels per day in July, according to Kpler data.
Most of the crude moving through Sidi Kerir is Saudi oil, according to Matt Smith, director of commodity research at Kpler. He described the shift as a broader strategic change rather than a temporary adjustment.
The Sidi Kerir route relies on the Sumed pipeline, which connects Egypt’s Mediterranean coast with the Red Sea port of Ain Sokhna. Because fully loaded supertankers cannot pass through the Suez Canal, ships transfer part of their cargo into the pipeline before crossing the canal and reloading at the Mediterranean port.
Red Sea attacks force Saudi Arabia to seek alternatives
Saudi Arabia has faced increasing pressure as Iran and its allies disrupt major energy routes across the Middle East.
Earlier in the year, Riyadh redirected millions of barrels per day through pipelines from its eastern oil fields to the Red Sea port of Yanbu after disruptions around the Strait of Hormuz.
However, attacks by Houthi forces on Saudi-linked shipping in the Red Sea have created new risks for exports through the Bab el-Mandeb Strait.
Saudi crude exports through Yanbu and the Bab el-Mandeb Strait dropped sharply, falling nearly 90% to around 1.3 million barrels during the week of August 3 compared with 11 million barrels during the week of July 20, according to Kpler data.
Saudi Aramco highlights export flexibility
Saudi Aramco CEO Amin Nasser said the kingdom has multiple export options available, including alternative routes through the Sumed pipeline and the Suez Canal.
However, rerouting shipments creates higher costs and longer delivery times, particularly for customers in Asia. Nasser said shipments traveling around Africa can take approximately 25 days longer than routes through the Bab el-Mandeb Strait.
Global oil markets face shifting trade flows
Most Saudi crude exports from Sidi Kerir are currently heading toward Europe and the United States rather than Asia.
Analysts suggest this could create a chain reaction across global oil markets. European buyers receiving more Saudi crude may push West African supplies toward Asian markets, reshaping global trade patterns.
“We’re getting a domino effect here,” Smith said, as changing Saudi export routes influence supply flows across multiple regions.
Security risks remain despite rerouting efforts
While the Sumed pipeline provides Saudi Arabia with an alternative export route, it does not eliminate security risks in the region.
Drone attacks targeted two liquefied natural gas vessels at Egypt’s Port of Damietta in July, demonstrating that infrastructure and shipping routes across the region remain vulnerable.
Key Takeaways
- Saudi Arabia increased oil exports through Egypt’s Sidi Kerir port to reduce reliance on Red Sea routes.
- The Sumed pipeline provides an alternative path for crude shipments through the Mediterranean.
- Changing Saudi export patterns could reshape global oil flows between Europe and Asia.
