Saudi Arabia Mulls Big New Plan, Eyes Post-War Oil Route Reset to Bypass Volatile Hormuz
Preliminary talks could add 1 million to 2 million barrels per day and a second pipe for refined products, sources said.
- Saudi Arabia is considering expanding its East-West crude pipeline capacity by up to 2 million barrels per day, enabling transport to the Red Sea port of Yanbu without crossing the Strait of Hormuz.
- Recent wartime tanker disruptions and Iranian threats to commercial shipping forced Gulf producers to treat the waterway as a liability rather than a reliable export route after five months of conflict.
- Kuwait Petroleum Corporation CEO Sheikh Nawaf al-Sabah told the Atlantic Council Global Energy Forum last month the kingdom is "in discussions with our brothers in Saudi Arabia and in the emirates to look at how to expand the pipeline system."
- Zaid Belbagi, managing partner at London-based Hardcastle Advisory, said the conflict focused regional minds on the perils of relying solely on the waterway, prompting strategic re-evaluations across the Gulf.
- The United Arab Emirates is completing a new West-East pipeline to Fujairah, expected to become operational next year, which will double crude export capacity while bypassing the congested waterway entirely.
15 Articles
15 Articles
(Seoul = Yonhap News) Reporter Kwak Min-seo = Saudi Arabia is expanding alternative shipping routes to send crude oil to the western Red Sea coast without passing through the Strait of Hormuz...
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Saudi Arabia is reportedly exploring a major expansion of its Red Sea oil pipeline network to reduce reliance on the Strait of Hormuz, according to Reuters. The proposal comes after recent regional tensions highlighted the vulnerability of Gulf energy exports. Riyadh is said to be in preliminary talks with Gulf partners, though the project would require significant investment and could take years to complete.
Saudi Arabia Eyes Major Red Sea Pipeline Expansion to Bypass Hormuz
Saudi Arabia is looking beyond the Strait of Hormuz. The kingdom is considering expanding the capacity of its East-West crude pipeline by as much as 2 million barrels per day, according to Reuters. It’s a move that would allow more Saudi—and potentially neighboring Gulf—oil to reach global markets without passing through the world's most strategically vulnerable chokepoint. The discussions are still preliminary. After five months of war, tanker …
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