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The UAE is planning to speed up the development of a new oil pipeline to double its export capacity through Fujairah by 2027. This move will significantly enhance the country’s ability to bypass the Strait of Hormuz. The Abu Dhabi Media Office announced that Crown Prince Sheikh Khaled bin Mohamed bin Zayed directed ADNOC to expedite the West-East Pipeline project during a recent executive meeting. Construction is underway, with operations projected to begin in 2027, though no details were given about the original schedule.
Currently, the UAE’s Abu Dhabi Crude Oil Pipeline (ADCOP), also called the Habshan-Fujairah pipeline, can transport up to 1.8 million barrels daily. It has proven essential for increasing direct exports from the Gulf of Oman region. Among Gulf nations, only the UAE and Saudi Arabia have pipelines for exporting crude outside the Strait of Hormuz, while Oman’s long coastline borders the Gulf of Oman.
Iran’s closure of the narrow waterway separating it from Oman—initially a response to US-Israeli air and naval operations launched on February 28—has cut off about 20% of global oil supplies heading to Asia and other areas. Kuwait, Iraq, Qatar, and Bahrain depend heavily on the Strait for their shipment routes. This disruption has driven up energy prices, prompting government rationing of fuel and stoking fears of economic slowdown amid rising inflation.
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