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• 6 min read • Saudi Arabia

Saudi Arabia Ramps Up East-West Pipeline to Full Capacity, Bypassing the Blocked Strait of Hormuz

As Iran's Strait of Hormuz blockade slashes global oil traffic from 100 vessels a day to just 5, Saudi Arabia is moving to fill its 1,200km East-West Pipeline to maximum capacity — routing crude from Gulf fields to Red Sea terminals to keep exports flowing.

Introduction

Saudi Arabia is moving to fill its critical East-West Pipeline to maximum capacity as the Iranian blockade of the Strait of Hormuz chokes off the primary export route for Gulf oil. The pipeline, stretching approximately 1,200 kilometers from oil fields in the Eastern Province to Red Sea export terminals at Yanbu, represents one of the few viable alternatives for getting Saudi crude to global markets while the strait remains impassable.

The Strait of Hormuz Crisis

The Strait of Hormuz — the narrow waterway between Iran and Oman through which roughly 20% of the world’s oil transits — has been effectively blockaded since early March 2026. According to shipping data, daily vessel traffic through the strait has plummeted from approximately 100 ships per day to just 5, as Iranian naval forces and the threat of missile strikes make the passage too dangerous for commercial vessels.

Marine and aviation insurers face rising claims, with war-risk premiums surging across more than 1,000 insured vessels valued at over $25 billion, according to Moody’s. The blockade has sent global oil prices above $100 per barrel for the first time since 2022.

The East-West Pipeline: Saudi Arabia’s Strategic Alternative

The Petroline (East-West Pipeline) was originally built in the 1980s as a strategic bypass around the Persian Gulf. The pipeline carries crude oil from Abqaiq — the heart of Saudi Arabia’s oil processing infrastructure — across the Arabian Peninsula to the port city of Yanbu on the Red Sea.

Key specifications:

  • Length: ~1,200 km (750 miles)
  • Capacity: 5 million barrels per day (at full capacity)
  • Route: Abqaiq → Yanbu (Red Sea)
  • Operator: Saudi Aramco
  • Current status: Ramping up to maximum throughput

By moving exports through Yanbu instead of Ras Tanura (on the Persian Gulf), Saudi Arabia can deliver crude to European and North American markets without entering the Strait of Hormuz.

Aramco’s Response

Saudi Aramco is reportedly working to bring the pipeline’s throughput to full capacity as quickly as possible. The company has been gradually increasing flows since the Hormuz blockade began, but technical and logistical constraints have limited the ramp-up speed.

The pipeline was already operating at partial capacity before the crisis, primarily serving European and Mediterranean markets. Redirecting the full 5 million barrels per day capacity would represent a significant operational achievement, though still insufficient to replace all of Saudi Arabia’s pre-crisis export volumes of approximately 6-7 million barrels per day.

Regional Impact

Saudi Arabia is not the only Gulf producer looking for alternative export routes:

  • UAE: The Abu Dhabi Crude Oil Pipeline (ADCOP) provides a similar bypass from Habshan to Fujairah on the Gulf of Oman, though this route still faces risks near the strait’s southern entrance
  • Kuwait: Lacks pipeline alternatives and remains heavily dependent on seaborne exports through the strait
  • Iraq: The Kirkuk-Ceyhan pipeline to Turkey offers partial relief but has been unreliable due to political and technical issues

Global Oil Market Fallout

The combination of the Hormuz blockade and limited pipeline capacity is reshaping global energy flows:

  • Oil prices: Brent crude surged above $100/barrel for the first time since 2022
  • Insurance costs: War-risk premiums up 10x for Gulf transits
  • Shipping reroutes: Tankers are taking longer routes around Africa, adding weeks to delivery times
  • Strategic reserves: The US, EU, and China have tapped emergency stockpiles to stabilize markets

Infrastructure Under Threat

The East-West Pipeline itself is not immune to attack. Iranian-aligned forces have demonstrated the ability to strike deep into Saudi territory, as evidenced by the March 13 attack on Prince Sultan Air Base that damaged five US KC-135 refueling aircraft. A successful strike on the pipeline would be catastrophic for global oil supply.

Saudi air defense systems — including Patriot batteries and the THAAD system — are defending key infrastructure, but the sheer number of drones and missiles being launched presents a challenging operational environment.

Sources