UAE’s Hormuz-bypass pipeline nearly 50% complete

The United Arab Emirates has completed almost half of a second pipeline designed to bypass the Strait of Hormuz, as Gulf producers accelerate alternative export routes amid the prolonged closure of the strategic waterway. ADNOC CEO Sultan Ahmed Al Jaber told the Atlantic Council that “too much of the world’s energy still moves through too few chokepoints.” The new pipeline, expected to become operational in 2027, will double ADNOC’s export capacity through Fujairah, a UAE port on the Gulf of Oman beyond the strait.

Historic supply disruption

Al Jaber stated that Iran’s blockade of Hormuz, which began in early March, has triggered the most severe energy supply disruption in history. More than 1 billion barrels of oil have been lost due to the closure, with nearly 100 million additional barrels lost each week the waterway remains blocked. Even if the conflict ended immediately, he said, it would take at least four months to restore oil flows to 80% of normal levels, with full normalisation not expected until early 2027.

A dangerous precedent

“This is not just an economic problem,” Al Jaber warned. “In fact, this sets a dangerous precedent once you accept that a single country can hold the world’s most important waterway hostage.” US Energy Secretary Chris Wright added that Hormuz’s importance to global energy markets would likely decline after the war, as Gulf countries build bypass infrastructure. “This is a card you can play once,” Wright said of Iran’s blockade.