Oil Hits Three-Week High as Houthis Block Saudi Vessels and ADNOC Curbs Asian Supply

Oil prices rose for a fourth consecutive session to a three-week high on August 19, with Brent crude trading above $91 a barrel, as a confluence of supply disruptions tightened the market. The Houthis announced they had prevented 48 Saudi oil vessels from passing through and had targeted 8 since July 20, adding fresh urgency to concerns about Hormuz traffic that has already been running at reduced levels amid the broader US-Iran conflict. Saudi Aramco separately notified at least three European refiners it would supply full contractual crude volumes in September, a move interpreted as an effort to maintain key customer relationships despite the logistical strain.

On the supply side, ADNOC said it plans to cut by roughly 5% the crude it offers in spot tenders to Asian buyers this month and next, citing maintenance on onshore Abu Dhabi fields, a reduction that pushed Murban crude to a four-month high. In India, crude imports rose 9% month over month in July, with Russian barrels accounting for 55% of the total, though discounts on Russian crude at Indian ports have collapsed from around $10 per barrel in early July to near zero, eroding a pricing advantage Indian refiners had relied on.