Rapidan Energy CEO on how the Saudi East-West pipeline shutdown will affect the oil market
Speakers
Scott Modell
— Managing Director, Rapidan Energy Group
Sarah
— Anchor
Summary
Rapidan Energy Group CEO Scott Modell discusses the severe implications of the Saudi East-West pipeline shutdown on global oil markets. He warns that oil exports will drop sharply once storage is depleted, while escalating geopolitical tensions in Yemen and attacks by Iranian proxies threaten further infrastructure disruptions.
- Strikes from Iraq severely damaged a pumping station on the Saudi East-West pipeline.
- Pipeline repairs could take anywhere from two weeks to four months.
- Oil exports from Yanbu will drop sharply once 8 to 15 million barrels of storage are depleted.
- Iranian proxies, including Iraqi militias, have demonstrated the ability to strike critical infrastructure at will.
- Houthi rebels are making significant gains in Yemen, putting the Saudi-backed government on the verge of collapse.
- Increased Houthi control over critical infrastructure poses further upside risks to oil prices.
Ideas
Geopolitical conflicts and pipeline shutdowns threaten oil.
The shutdown of the Saudi East-West pipeline will lead to a sharp drop in oil exports once storage is depleted in a few weeks. Furthermore, escalating attacks by Iranian proxies and Houthi gains in Yemen leave critical infrastructure highly vulnerable, creating significant upside risk for oil prices.
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This CNBC video, published September 14, 2026, features Scott Modell discussing WTI. 1 trade idea extracted by AI with direction and confidence scoring.
Speakers: Scott Modell · Tickers: WTI