(Aug 17): Saudi Arabia is offering to sell oil from off the coast of Oman, a sign that the kingdom may be following the United Arab Emirates in shuttling more barrels through the Strait of Hormuz.

State oil company Saudi Aramco is offering cargoes on a so-called ship-to-ship basis from locations including Sohar in the Gulf of Oman, people familiar with the matter said, asking not to be identified because the information isn’t public. The cargoes in question are Arab Medium and Arab Heavy, which means it is highly likely the barrels came from inside the Persian Gulf.

Saudi Aramco declined to comment.

Middle Eastern oil producers have been pressing ahead with shuttling large volumes of crude out of the Persian Gulf, helping keep a lid on oil prices and assuaging fears of an energy-driven inflation spike.

The kingdom’s ability to divert exports to its Red Sea port of Yanbu made it less reliant on the waterway and slower to boost the amount it has shuttled through.

Over the past several weeks, even those diverted Red Sea flows have also come under threat after Yemen’s Houthi militants declared a maritime blockade on Saudi Arabia.

There have been recent signs of a pickup in cargo activity from Saudi Arabia’s facilities inside the Persian Gulf. According to satellite imagery, vessels with at least nine million barrels of transport capacity have loaded at or near the country’s giant Ras Tanura export installations over the past week.

Saudi Arabia has also amassed a large cluster of oil supertankers just outside the Persian Gulf.

Saudi Aramco CEO Amin Nasser said in March that the pipeline sending barrels to Yanbu was primarily carrying Arab Light and Extra Light.

The nation’s offshore fields, which are largely inside the Persian Gulf, are made up of the country’s medium and heavy supplies, he said at the time.

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