US-Iran Peace Brings Windfall for Saudi Arabia's King Salman
Saudi Arabia has immediately boosted its crude oil shipments massively through the Strait of Hormuz. The move comes after the United States and Iran officially signed an agreement last month to reopen the strategic shipping lane.
According to a report by CNBC International on Friday (3/7/2026), data from trade intelligence firm Kpler shows Riyadh has shipped approximately 34 million barrels of oil through Hormuz since 17 June. The kingdom’s export volume over the past two weeks has surged dramatically, more than doubling compared to the 15 million barrels shipped through the same strait during the entire period from 9 March to 17 June.
‘Flows of Saudi crude within the Gulf have rebounded after months of rerouting due to the conflict,’ Kpler analyst Jashan Prema stated in a note to clients on Thursday.
Of the total oil shipped since 17 June, Kpler noted that around 24 million barrels were loaded during or even before the US-Iran war erupted. This indicates that Saudi Arabia is currently busy clearing a backlog of tankers that were trapped and unable to leave the Gulf region due to the armed conflict. ‘There are still around 17 million barrels of Saudi oil that were loaded before the war broke out and remain stuck in the Gulf area,’ Kpler added.
Riyadh had previously halted almost all oil shipments from its Gulf export terminals at Ras Tanura and Juaymah on 9 March. The decision to suspend operations was forced after tanker traffic in the Strait of Hormuz plummeted due to a series of Iranian military attacks.
During the crisis, Saudi Arabia diverted most of its oil exports via the East-West pipeline to the Yanbu terminal on the Red Sea. However, the kingdom is now not only clearing the backlog of pre-war oil but has officially resumed its export logistics in the Gulf. Eleven supertankers bound for the kingdom entered the Gulf region between 23 June and 1 July. Of these vessels, eight have completed loading oil at Saudi terminals, and five have reportedly successfully exited through the Strait of Hormuz.
Meanwhile, commercial shipping activity continues to transit the Strait of Hormuz despite renewed skirmishes between the US and Iran last week. Tensions briefly escalated after Tehran attacked two commercial ships, prompting retaliatory airstrikes by the US over the weekend. Kpler noted that tanker traffic had slumped to just eight vessels on Sunday, but the number gradually recovered, reaching 16 ships by Wednesday. Maritime intelligence firm Windward recorded that approximately 8.5 million barrels of crude oil successfully passed through the Strait of Hormuz on Wednesday. For macro comparison, data from the US Energy Information Administration (EIA) shows that nearly 15 million barrels per day routinely transited the strategic waterway throughout 2025.