Reports of Strikes Near Aramco Facilities and Warning of "Dangerously Low" Inventories

Reports indicated that strikes attributed to the Houthis occurred near facilities belonging to Saudi Aramco and the Khurais area, in a development that brings geopolitical risks back to the forefront of factors influencing global oil supplies. No immediate official confirmation was issued regarding the details of these strikes or the resulting damage.

In the same context, Aramco CEO Amin Nasser stated that global oil inventories are "dangerously low," currently standing at less than 6 billion barrels compared to a historical average of about 10 billion barrels. Nasser explained that around 3 billion barrels were lost from supply, and nearly 1 billion barrels were drawn down from inventories.

Nasser estimated that restoring inventories to their normal levels could take up to two years, an estimate reflecting the size of the gap caused by successive supply disruptions over the past months.

Khurais is considered one of the most important crude production areas in Saudi Arabia, and any threat to oil facilities there is quickly reflected in global crude prices and supply expectations in Asian and European markets. The impact of these developments remains subject to official confirmation and an assessment of the actual damage.

What do these terms mean?

Oil inventories: Ready-to-use quantities of crude oil held by countries and companies to cover demand in the event of any sudden disruption. Khurais: A major Saudi oil field located in the eastern part of the country and considered a key pillar of production. Geopolitical risks: Political and military tensions that could disrupt trade or supplies. The Houthis: An armed group in Yemen that has claimed responsibility for several attacks on targets in the region.