Don't Underestimate The Threats To Global Oil Supply

As a result of a drone attack on Saturday on two major oilproduction facilities in Saudi Arabia, 5.7 million barrels per day (b/d) of capacity were taken off the grid. That corresponds to roughly 5% of global output. In absolute terms it was the biggest, and most sudden supply shock in history. Khurais produces about 1.5 million b/d and Abqaiq, the world’s biggest crude-stabilization facility, processes 7 million barrels of Saudi oil a day.