Saudi Arabia Maxes Out East-West Pipeline to Bypass Strait of Hormuz

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Saudi Arabia Maxes Out East-West Pipeline to Bypass Strait of Hormuz

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Pipeline through the desert (© Shutterstock/Mike Browne)
Pipeline through the desert (© Shutterstock/Mike Browne)

Saudi Arabia’s East-West crude pipeline has reached its full operating capacity of 7 million barrels per day as the kingdom scrambles to reroute oil away from the effectively closed Strait of Hormuz, according to sources familiar with the matter.

The ramp-up follows a dramatic escalation in the Middle East conflict that has paralyzed traffic through the world’s most vital maritime chokepoint. 

With tankers unable to safely navigate the Persian Gulf, Saudi Aramco has activated a massive contingency plan to redirect crude flows overland to the Red Sea port of Yanbu.

Data indicate that crude exports via Yanbu have surged to roughly 5 million barrels per day, a sharp increase from pre-conflict levels. This is supplemented by an additional 700,000 to 900,000 barrels per day of refined petroleum products. 

Of the total 7 million barrels currently moving through the 745-mile "Petroline," approximately 2 million barrels are being siphoned off to feed domestic Saudi refineries on the country's western coast.

The full activation of the pipeline marks a historic shift in global energy logistics. Historically, the Strait of Hormuz handled about 15 million barrels of crude daily.

 While the East-West pipeline is now operating at its absolute ceiling, industry analysts warn that it only partially offsets the loss of the primary Gulf route, leaving a significant gap in the global supply chain.

Despite this shortfall, the bypass has been credited with preventing oil prices from reaching more catastrophic levels. 

By maintaining a steady flow of roughly 85% of its typical export volume to global markets, Saudi Arabia has provided a critical "relief valve" for a market currently facing its most severe supply shock in decades.

"The pipeline is currently our primary lifeline to the global market," said a person familiar with Saudi oil operations. 

"Operating at 100% capacity leaves zero room for error, but it is the only way to ensure the kingdom remains a reliable supplier while the Gulf remains a no-go zone."