Saudi Arabia shut down its critical East-West oil pipeline Friday after drones launched from Iraqi territory struck the 1,200-kilometer export route, temporarily eliminating the kingdom's main workaround to Iran's de facto blockade of the Strait of Hormuz.

The attacks hit facilities in the Riyadh and Medina regions on September 10-11, causing injuries and unspecified damage. Saudi authorities described the closure as a precautionary measure while emergency and technical teams assess safety. Iraq confirmed Saturday that the strikes originated from its soil and closed three border crossings with Iran to collect intelligence on what it called "violations and breaches" at the entry points.

Strategic Pipeline Built for This Scenario

The East-West Pipeline, also known as Petroline, links Saudi Arabia's oil-producing eastern region with the Red Sea port of Yanbu. Saudi Arabia built the route in the 1980s specifically to bypass the Strait of Hormuz during the Iran-Iraq War when Tehran threatened Persian Gulf shipping. That contingency plan became operational reality this year as Iran has effectively closed the Strait to commercial traffic amid the wider six-month U.S.-Israel war on Iran.

President Trump blamed Iran for the pipeline attack without providing evidence. No group has claimed responsibility, but U.S. officials told Reuters that intelligence indicates Iran-backed militias in Iraq conducted the operation. The attack comes as Yemen's Iranian-backed Houthi rebels seized additional strategic islands at the southern entrance to the Red Sea, expanding their control over the Bab-el-Mandeb strait.

Market Impact and Repair Timeline

Crude oil prices rose Monday following the shutdown. The pipeline carries approximately 5 million barrels per day when operating at full capacity. The market could lose 120 million barrels if the pipeline remains closed for a month and storage is drawn down at Yanbu, according to Kpler energy analytics. "The longer the shutdown, the higher the price," said Andy Lipow, president of Lipow Oil Associates.

Two regional officials told reporters Monday that most of the pipeline will be out of service for weeks as damage is repaired. Saudi energy officials have not provided a public timeline for restoration. The kingdom is now temporarily without its primary alternative export route while the Strait of Hormuz remains locked down.

Iraq Races to Contain Fallout

Iraqi authorities seized a drone-launching platform Friday that they said was used in the attacks. The Iraqi federal government opened an investigation and is facing pressure to demonstrate it can control Iran-backed militia groups operating on its territory. Iraq closed the three eastern border crossings with Iran on September 12 to determine how the drone equipment entered the country.

The attacks expose Baghdad's ongoing failure to rein in Iranian-aligned militias despite previous pledges to prevent such operations. Saudi Arabia has previously accused Iran-backed groups in Iraq of targeting its oil facilities, but this marks the most consequential strike to date given the pipeline's role in bypassing the Hormuz closure.