Saudi Arabia is increasingly moving crude oil from its Red Sea export terminals aboard tankers operating without public tracking signals, as the threat of renewed Houthi attacks raises concerns over shipping through the region, Reuters reports.
At the center of the shift is Yanbu, Saudi Arabia’s major Red Sea oil terminal. Vortexa analyst George Morris said all recent Yanbu liftings were conducted “dark,” meaning vessels were not broadcasting Automatic Identification System signals that are normally used to track ship movements.
Kpler analyst Nhiway Khin Soe said about 70% of Saudi west coast loadings over the past few weeks involved vessels without continuous AIS coverage. The growing use of dark voyages makes it more difficult for traders and analysts to accurately assess Saudi export volumes and global oil flows.
The change comes as shipping through the Bab al-Mandeb Strait at the southern end of the Red Sea has already been affected by years of sporadic Houthi attacks on commercial vessels. Traffic averaged 32 ships per day through the waterway last week, according to Kpler, down from about 50 a day before the group announced its latest blockade.
Saudi Arabia has also been sending more oil north through the Red Sea, either through Egypt’s SUMED pipeline, which connects Ain Sokhna on the Red Sea to Sidi Kerir on the Mediterranean, or by sailing vessels around the Red Sea coast.
Crude and condensate loadings from Sidi Kerir averaged a record 2.17 million barrels per day last week, around 50% higher than the previous week, with about 90% of the total consisting of Saudi crude, according to Vortexa.
The growing security concerns have also pushed up war-risk insurance costs and prompted tanker companies to alter their routes. Major tanker operator DHT previously pulled out of the Red Sea through the Bab al-Mandeb while carrying oil.
DHT Chief Executive Svein Moxnes Harfjeld said the situation has become more difficult and that most of the company’s very large crude carrier loadings have been redirected north and northwest rather than through the Red Sea.
(YWN World Headquarters – NYC)
