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Saudi Arabia Eyes Major Red Sea Pipeline Expansion to Bypass Strait of Hormuz

Wed, Jul 8, 2026(90d ago)Business

Saudi Arabia is currently exploring plans to significantly increase the capacity of its East-West pipeline, a move designed to boost crude oil transport to the Red Sea and reduce heavy reliance on the volatile Strait of Hormuz. By potentially adding another 2 million barrels per day (bpd) to the route, the kingdom aims to secure a more reliable export corridor. This initiative comes as regional producers, including Kuwait and Qatar, seek alternative ways to move their energy supplies amid the ongoing geopolitical instability that has repeatedly threatened shipping routes.

While it remains to be seen whether this project will involve upgrading existing infrastructure or constructing an entirely new line, industry experts view the move as a critical shift in regional energy security. The proposal represents a massive, multi-billion-dollar undertaking that would take several years to finalize. Beyond just securing supply lines, some analysts suggest that this infrastructure expansion could also signal an intensification of the competitive landscape for oil production among Gulf nations, potentially reshaping the regional energy market once the current conflicts subside.

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