Saudi Aramco Halts Oil Supplies to Europe Amid Regional Energy Crisis

Key Facts

In a development deepening the European energy crisis, Saudi Aramco has informed at least two European refiners and all buyers across the continent that they will receive no crude oil deliveries next month. This forced suspension follows the shutdown of the East-West pipeline, which has a capacity of 7 million barrels per day, after a drone attack earlier this month. This disruption represents a major blow to regional supply security, prompting major firms like Poland's Orlen to scramble for alternative sources.

The disruptions reflect growing pressure on international energy markets, with Orlen issuing more than 10 tenders this week to replace contracted Saudi barrels. In a broader economic context, market data shows persistent inflationary pressures, with the US annual inflation rate recorded at 3.4% earlier this month, while Russia's annual inflation stood at 6.3% as of September 11, 2026. These factors further complicate the landscape for monetary policymakers facing rising energy costs.

Looking ahead, traders are monitoring updates regarding the repair of the vital pipeline, as updated price data for related instruments was unavailable at the time of this report on September 18, 2026. Markets are also watching upcoming international events, including the BRICS Summit, which may address energy security and cooperation between major producers and consumers under these exceptional circumstances.