Other Pipelines and Projects to Bypass Oil From Hormuz

Key Takeaways

• Existing pipelines move ~8‑8.5 mb/d around Hormuz.
• Iraq‑Turkey line could reach 400‑650 k bpd soon.
• Basra‑Haditha pipeline aims 2.5 mb/d, $1.5 bn budget.
• UAE ADCOP expansion adds up to 1 mb/d, targeting 3 mb/d total.
• Upgrades could raise bypass capacity to 12‑13 mb/d within 5 years.

Pulse Analysis

The Hormuz Strait has long been a strategic bottleneck for crude exports, prompting Gulf states to develop parallel pipelines that skirt the waterway. Today, the East‑West Petroline, the UAE’s ADCOP, and Iraq’s Kirkuk‑Ceyhan line collectively handle about 8‑8.5 mb/d, providing a critical safety valve during periods of tension. Incremental enhancements—such as boosting Yanbu terminal throughput and modest pipeline tweaks—can unlock an additional half‑to‑one million barrels daily without new construction, underscoring the value of optimizing existing assets.

Looking ahead, the region’s capacity ceiling could rise dramatically. Iraq’s Basra‑Haditha project, slated for late‑2026 startup, targets a 2.5 mb/d flow and carries a $1.5 billion investment, linking Hormuz‑locked fields to multiple Red Sea and Mediterranean outlets. Meanwhile, the UAE is expanding ADCOP with a second pipe, potentially adding another million barrels per day and pushing total capacity toward three mb/d. Reviving the historic IPSA corridor through Saudi Arabia remains politically sensitive, but its 1.65 mb/d design offers a long‑term fallback. Together, these initiatives could lift total bypass capability to 12‑13 mb/d within five years, reshaping the supply landscape.

Beyond pipelines, broader multimodal corridors are gaining traction. The proposed India‑Middle East‑Europe Economic Corridor (IMEC) envisions rail, road, electricity, and data links that bypass both Hormuz and the Red Sea’s Bab al‑Mandeb, shaving 5‑7 days off transit times for containerized trade. Although the GCC Railway—a $250 billion, 2,117‑km network—faces delays until 2030, its eventual completion would cement a land‑based spine for energy and goods. These developments signal a strategic shift: reducing chokepoint exposure not only safeguards oil flows but also diversifies regional logistics, offering investors and policymakers a more resilient framework for future growth.