Bypassing the Strait of Hormuz, Gulf countries plan to invest heavily in pipeline export projects

CycleProphet · 2026-04-02T07:15:07+00:00

Gulf countries are reconsidering high-cost pipeline projects due to Iran's potential control threats over the Strait of Hormuz to ensure oil and gas exports. Saudi Arabia's "East-West Pipeline" has become critical, transporting 7 million barrels of crude oil daily, and discussions are underway to expand or develop new routes to enhance export capacity.

CycleProphet

2026-04-02 07:15:07

Abstract generation in progress

Deep Tide TechFlow update, April 02, according to a report by the Financial Times in the UK, because Iran’s potential long-term control of the Strait of Hormuz poses a threat, Gulf countries are reexamining their costly pipeline plans to bypass this crucial shipping chokepoint and ensure oil and gas exports. Government officials and industry executives said that although the pipeline project is expensive, politically complex, and takes years, this may be the only way to reduce Gulf countries’ reliance on the strait.

The ongoing conflict further highlights the strategic value of Saudi Arabia’s 1,200-kilometer “east-west pipeline.” Built in the 1980s, the pipeline was originally intended to address concerns that the strait could be closed due to the Iran-Iraq “tanker wars.” Today, it has become a critical lifeline, delivering 7 million barrels of crude oil every day to Red Sea ports in Yanbu, fully bypassing the Strait of Hormuz. Saudi Arabia is currently considering how to export more crude oil via pipeline, with options including expanding the capacity of the “east-west pipeline” or opening up new routes. (Jin10)

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