Saudi Arabia redirects oil exports to the Gulf amid rising security risks, increasing STS operations to maintain flow through Hormuz.
New Era in the Hormuz Crisis: 'Shuttle' Weaving with Oil Tankers
As the security risk in the Strait of Hormuz alters the routes of energy trade, Saudi Arabia has once again turned its oil exports towards the Persian Gulf. In the region where Aramco has increased VLCC loadings at the Ras Tanura Port, producers are also focusing on ship-to-ship transfer (STS) operations off the coast of Oman to mitigate risks.
While the impact of conflicts in the Middle East on maritime transport continues, a new logistics model is emerging in global oil trade.
As commercial ship passages through the Strait of Hormuz remain significantly below pre-war levels, oil producers are turning to different methods to maintain export flows.
In this context, Saudi Arabia has redirected its oil shipments back to Persian Gulf terminals following disruptions in its export line along the Red Sea coast.
14 Million Barrels of Oil Loaded onto 7 VLCCs
According to ship tracking data, on September 20, Saudi Arabia loaded 7 Very Large Crude Carriers (VLCCs) at the Ras Tanura Port.
The total capacity of these tankers is reported to correspond to approximately 14 million barrels of crude oil.
The amount of Saudi oil passing through Hormuz has also significantly increased in recent weeks.
According to satellite and ship tracking data, the volume of Saudi oil transported through Hormuz was around 700,000 barrels per day in August, but has recently risen to approximately 2.9 million barrels per day.
Route Change After East-West Oil Pipeline
The primary reason for the change in Saudi Arabia's export strategy was the security issue affecting the country's east-west oil transportation infrastructure.
Following the impact on the export capacity of the East-West Oil Pipeline on the Red Sea side, Aramco has started to emphasize shipments to Persian Gulf terminals for Asian markets once again.
This development has once again heightened the critical role of the Strait of Hormuz in energy transportation.
Tankers Meet Off the Coast of Oman
Some producers and tanker operators looking to reduce the risk of passing through Hormuz are increasing ship-to-ship transfer (STS) operations.
In this method, oil is transferred from one tanker to another offshore without docking at a port, facilitating the use of larger tankers or vessels on suitable routes.
According to Reuters data, the amount of oil transported in STS operations off the coast of Oman rose to approximately 2.5 million barrels per day in September.
In August, this figure was around 1.4 million barrels per day.
Risk Has Not Decreased, Costs Have Increased
The increase in STS operations does not mean that the security pressures in Hormuz have completely disappeared.
While ship passages in the region are declining, war risk insurances and tanker operating costs continue to rise.
As a result, shipowners are demanding higher freight rates, and daily earnings in the VLCC market have reached historic levels.
A New Balance Sought in Energy Trade
Developments in the Strait of Hormuz present two different scenarios in global energy transportation:
On one hand, there is a decrease in commercial ship traffic due to security concerns, and on the other hand, new logistical solutions are being developed to sustain oil exports.
Saudi Arabia's renewed focus on Hormuz-centered shipments and the growth of STS operations indicate that the crisis in the region has not completely halted energy trade but has significantly increased costs.
Source: SeaNews Türkiye
