United Arab Emirates develops alternative energy export routes amid US-Iran tensions

The UAE is spending billions to ensure that if the Strait of Hormuz becomes a war zone, its oil keeps flowing. Presidential adviser Anwar Gargash confirmed on September 7 at the Hili Forum in Abu Dhabi that the country is aggressively expanding eastern-coast port infrastructure and fast-tracking new pipeline construction to insulate its energy exports from the fallout of the US-Iran conflict. The centerpiece of this effort is a new West-East pipeline being built by the Abu Dhabi National Oil Company (ADNOC), which aims to double Fujairah’s export capacity to roughly 3.6 million barrels per day by 2027. As of May, that pipeline was 50% complete. Why the Strait of Hormuz matters About a fifth of the global oil supply passes through this narrow waterway between Iran and Oman on any given day. Iran’s escalating military posture, including missile attacks and disruptions to maritime shipping, has turned a theoretical risk into a practical one. The existing Habshan-Fujairah pipeline already carries 1.8 million bpd of crude from Abu Dhabi’s inland fields to the port of Fujairah on the Gulf of Oman, completely bypassing the strait. That infrastructure has proven its value during recent dis...