The United Arab Emirates (UAE) has completed nearly 50% of a second pipeline designed to bypass the Strait of Hormuz, according to Sultan Ahmed Al Jaber, CEO of Abu Dhabi National Oil Co. (ADNOC) [1]. The pipeline, which will double ADNOC's export capacity through the port of Fujairah on the Gulf of Oman, is being fast-tracked in response to the ongoing Iran war and is expected to become operational in 2027 [1].
The urgency of the project follows Iran's blockade of the Strait of Hormuz since early March, which has severely restricted oil and gas exports from the UAE and other Gulf Arab producers [1]. The UAE has redirected some exports through an existing pipeline to Fujairah, which has a maximum capacity of 1.8 million barrels per day [1]. However, the blockade has resulted in the loss of more than 1 billion barrels of oil, with an additional 100 million barrels lost each week the strait remains closed, marking what Al Jaber described as the most severe energy supply disruption in history [1].
Al Jaber stated that even if the conflict were to end immediately, it would take at least four months to restore oil flows to 80% of normal levels, with full normalization expected only by the first or second quarter of 2027 [1]. He emphasized the broader implications, warning that allowing a single country to control such a critical waterway sets a dangerous precedent [1].
U.S. Energy Secretary Chris Wright commented that the strategic importance of the Strait of Hormuz to global energy markets will diminish as Gulf nations, including the UAE, develop alternative pipeline routes [1]. Wright noted, "This is a card you can play once," referring to Iran's blockade, and predicted that while the strait's significance will decrease, the importance of Gulf energy production will remain [1].
CONCLUSION
The UAE's accelerated pipeline project represents a significant response to the unprecedented disruption caused by the Strait of Hormuz blockade. While the immediate market impact is severe, efforts to diversify export routes are expected to reduce future vulnerability. Full recovery of oil flows is not anticipated until 2027, underscoring the long-term implications for global energy markets.