Saudi Arabia’s crude oil production fell to its lowest level since 1990 in August, as attacks and shipping threats linked to the conflict in the region disrupted the kingdom’s oil exports.
Saudi output dropped by 1.9 million barrels per day (bpd) to 6.23 million bpd last month, down 23 percent from July, according to an OPEC report published on Thursday.
Saudi crude exports also fell sharply, declining to 3.1 million bpd in August from 5.1 million bpd in July, according to data from Kpler.
It was the lowest monthly export level recorded since at least 2013.
The decline followed the Houthis’ announcement of a “maritime embargo” on Saudi ports at the end of July.
The threat discouraged shipping operators from using the area and disrupted the kingdom’s ability to move crude by sea.
Saudi Arabia had turned to Red Sea shipping routes after the conflict between the United States and Iran effectively closed the Strait of Hormuz, a major route for global oil shipments.
The situation has worsened this week, with the Houthis stepping up attacks on Saudi energy facilities.
The group also reportedly seized control of Yemen’s port city of Mocha on Thursday.
The developments have raised further concerns over shipping through the Bab el-Mandeb Strait, a major waterway linking the Red Sea with the Gulf of Aden.
The disruption has also affected oil markets. Crude oil prices rose by about 3 percent on Thursday as traders became increasingly concerned that attacks on shipping could disrupt global supplies.
The sharp fall in Saudi production came despite a wider increase in OPEC output.
Crude production among OPEC members rose by 346,000 bpd to 24.1 million bpd in August, according to the cartel.
