UAE Advances Oil Pipeline Project to Bypass Strait of Hormuz Amid Energy Crisis

(MENAFN) The United Arab Emirates has made significant progress on a major infrastructure project designed to reduce reliance on the Strait of Hormuz, with nearly half of a second bypass pipeline now completed, according to reports citing the head of Abu Dhabi National Oil Company.

Officials say the project is part of a broader strategy by Gulf energy producers to secure alternative export routes as instability continues to disrupt one of the world’s most important maritime passages.

The CEO of Abu Dhabi National Oil Company stated that “Right now, too much of the world’s energy still moves through too few chokepoints,” highlighting concerns over global supply vulnerability during a public discussion hosted by an international policy forum.

The new pipeline is expected to significantly increase export capacity through Fujairah, a key UAE port located outside the Strait of Hormuz in the Gulf of Oman. Once completed, it would allow larger volumes of crude to bypass the contested waterway entirely.

Construction has reportedly been accelerated due to ongoing regional conflict, with completion now targeted for 2027. The UAE has already been partially redirecting exports through an existing pipeline system that connects production areas to Fujairah, which currently handles up to 1.8 million barrels per day.

The ADNOC chief also described the disruption in the Strait of Hormuz as an unprecedented shock to global energy markets, attributing severe supply constraints to the ongoing blockade of the waterway. He claimed that more than a billion barrels of oil have already been affected, with additional losses accumulating weekly as restrictions continue.

He further warned that even if hostilities were to end immediately, restoring normal oil flows would take several months, with full stabilization of global supply chains not expected until 2027.

“This is not just an economic problem,” he said. “In fact, this sets a dangerous precedent once you accept that a single country can hold the world’s most important waterway hostage.”

The Strait of Hormuz remains a critical global energy corridor, and its continued closure has intensified efforts among regional producers to diversify export infrastructure and reduce exposure to maritime risks.

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