Aramco believes less than half of capacity can be restored quickly: Bloomberg

A picture taken on September 15, 2019 shows an Aramco oil facility near al-Khurj area, just south of the Saudi capital Riyadh. (AFP)

Saudi Aramco believes it will be able to restore less than half of the capacity lost quickly following the recent attack on its oil facilities, according to sources familiar with the matter who spoke to Bloomberg.

Saudi Arabia has pledged to use its oil reserves to compensate for the disruption of supply for its customers after Saturday's attacks on Saudi Aramco's oil facilities.

The latest attacks on the Kingdom's oil facilities in the Eastern Province resulted in the halt of an estimated 5.7 million barrels of crude oil supplies, or about 50 percent of Aramco’s production, Energy Minister Prince Abdulaziz bin Salman said on Sunday.

So far, Saudi Arabia has restored a third of its oil production which had been lost as a result of Saturday’s attacks on its key oil-processing facilities, according to Refinitiv tracking data seen by Al Arabiya English.

“Damage to the Abqaiq facility is more severe than previously thought,” Amrita Sen, chief oil analyst at Energy Aspects Ltd, was quoted by Bloomberg as saying. “While we still believe up to 50 percent of the 5.7 million barrels a day of output that has been disrupted could return fairly swiftly, full resumption could be weeks or even months away.”

Meanwhile, at the close of day on Monday, US crude oil jumped more than $8 to close at $62.90 a barrel, and Brent picked up nearly $9 per barrel, to reach $69.02.

Last Update: Wednesday, 20 May 2020 KSA 09:54 - GMT 06:54