Three Middle Eastern countries explore pipeline options to bypass Strait of Hormuz

Countries in the Middle East are increasing oil exports via pipeline as a response to disruptions in shipping traffic through the Strait of Hormuz. The United States-Israeli conflict on Iran has led to severe pressure on the global energy market, with shipping traffic through the strait reduced by over 95% since March 2.

In peacetime, the Strait of Hormuz handles approximately 20% of the world’s oil and gas exports, including 20 million barrels of oil per day. To compensate for the shortage caused by the strait’s closure, countries in the region are exploring alternative routes to transport energy exports.

Three major pipelines in the Middle East have been identified as potential alternatives: the East-West pipeline operated by Saudi Aramco, the Petroline; and two other pipelines that have not been specified. The East-West pipeline is a 1,200km-long pipeline from the Abqaiq oil processing centre to the Yanbu port on the Red Sea.

According to data from the United Nations, about 20 million barrels per day passed through the Strait of Hormuz in 2024, with crude oil and condensate making up 14 million bpd. The East-West pipeline has a capacity of transporting up to 7 million bpd. Saudi Aramco has announced that it can make approximately 5 million bpd available for exports.

However, using the East-West pipeline still carries risks, as the Houthis, an Iran-backed Yemeni armed group, have threatened to target the Bab al-Mandeb Strait and other critical waterways. As a result, countries are scrambling to secure safe passage through the strait, with some nations having secured deals with Iran to transit through the narrow waterway.

Over 2,000 ships from various nations are currently stuck on either side of the strait, highlighting the need for alternative routes. The use of pipelines as an alternative to shipping oil is being explored, and three major pipelines have been identified as potential solutions.

Source: Al Jazeera