Saudi Arabia has restarted the East-West oil pipeline and is preparing to resume exports from the Red Sea port of Yanbu as early as today, Reuters reported, citing three sources familiar with the matter.
According to the agency's sources, the flow through the pipeline will initially be limited and full restoration of work may take longer.
The pipeline was stopped after drone attacks on September 10, which damaged facilities related to the transfer of crude oil to Yanbu.
The East-West Pipeline is a key route for Saudi oil exports from the eastern part of the country to the Red Sea, without tankers passing through the Strait of Hormuz.
The news pushed oil prices down in recent sessions. Brent futures are hovering around and below $100 a barrel, having previously fallen to their lowest levels since Sept. 9.
The market remains sensitive to any news about Middle East supplies. JPMorgan analysts cited the flow through the Strait of Hormuz and the recovery in Saudi exports as among the main factors driving Brent's move.
Sources: Reuters, JPMorgan