https://www.cnbc.com/2019/09/14/saudi-a ... -says.html
Saudi Arabia shut down half its oil production Saturday after a series of drone strikes hit the world’s largest oil processing facility in an attack claimed by Yemen’s Houthi rebels.
The closure will impact almost 5.7 million barrels of crude production a day, about 5% of the world’s daily oil production, according to Saudi Aramco.
Saudi Energy Minister Abdul Aziz bin Salman said the attacks also led a halt in gas production that will reduce the supply of ethane and natural gas liquids by 50%.
Saudi Aramco President and CEO Amin Nasser said nobody was hurt in the attacks and emergency crews have contained the fires and brought the situation under control
“This is a big deal,� said Andrew Lipow, president of Lipow Oil Associates. “Fearing the worst, I expect that the market will open up $5 to $10 per barrel on Sunday evening. This is 12 to 25 cents per gallon for gasoline.�
Lipow noted over four million barrels per day of Saudi oil exports go to Asia, while the U.S. imports about 600,000 barrels. The biggest importers in Asia are China at 1.3 million barrels and Japan at 1.2 million barrels.
From what I am reading elsewhere, this is potentially huge. Apparently the damage to this plant is severe, and it is the biggest crude purification plant in the world.
