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Saudi Arabia Shuts Part of Safaniyah Oilfield after Power Cable Cut

Source: Reuters 2/15/2019, Location: Middle East

Saudi Aramco has shut part of its Safaniyah offshore oilfield after a main power cable was cut by a vessel’s anchor, a source familiar with the matter said.

The shutdown occurred about two weeks ago, the source said, adding there had been progress in repairs. The source said the situation was “under control.”

Saudi Aramco said in a statement that all of its facilities and operations, including the Safaniyah offshore oilfield, were safe and normal.

Energy Intelligence first reported the incident.

Safaniyah is the largest offshore oilfield in the world, with a capacity of more than 1 million barrels per day.

Brent crude oil prices hit 2019 highs above $65 per barrel on Friday, spurred by supply cuts led by the Organization of the Petroleum Exporting Countries and the partial shutdown of the Saudi Arabian oilfield.

Brent rose as high as $65.10, pushing past the $65 mark for the first time this year, before edging back to $64.87 a barrel by 1000 GMT, up about 0.4 percent from the last close.

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