Saudi Arabia is considering expanding the capacity East-West Pipeline to western Red Sea coast. This information was revealed by five sources that are close to the matter said.
The pipeline expansion move would enable the kingdom and possibly its neighbours to transport more oil without crossing the Strait of Hormuz.
Initial Construction of the East-West Pipeline
The east-west pipeline was built in the early 1980s. It has become crucial since the start of the Iran war in February and the resulting halt to shipping through the strait.
The pipeline can transport up to 7 million barrels per day (bpd) of crude to the Red Sea port of Yanbu. Furthermore, approximately 2 million bpd feed refineries on the west coast. Additionally, roughly 5 million bpd are for export, Amin Nasser, the CEO of state-backed oil company Aramco, stated in May.
Saudi Arabia is in preliminary talks with some of its neighbours about the potential expansion of the pipeline’s. The kingdom seeks to expand the pipeline’s capacity by up to 2 million bpd, the sources said.
It was unclear if Aramco’s planned capacity increase would entail upgrades to existing infrastructure or construction of a new pipeline. One of the sources stated that the increase would entail a smaller second pipe for transporting oil products.
Moreover, Kuwait, Bahrain and Qatar all lack routes that can bypass Hormuz. On the other hand Iraq’s pipeline to Turkey, is dogged by disputes and repeated shutdowns, runs well below capacity.
“We are in discussions with our brothers in Saudi Arabia and in the emirates to look at how to expand the pipeline system that they have to accommodate Kuwaiti barrels,” Kuwait Petroleum Corporation CEO Sheikh Nawaf Al-Sabah told the Atlantic Council Global Energy Forum last month.
This pipeline expansion project showcases how countries in the MENA region are gearing up efforts toward energy security. Similarly other countries in the region such as Egypt and Israel also entered a partnership to develop a mega pipeline in bid to ensure energy security.
Expansion Capacity, Timeline and Cost
The pipeline expansion could be for 1 million to 2 million bpd, two of the sources said, with refined products also under consideration. It would take years, cost billions of dollars and require changes to Saudi crude’s pricing mechanism, another source said.
Impact of Iran Blockade on Strait of Hormuz
Iran’s blockade of the strait forced Gulf producers to shut in as much as 12 million bpd. This led to the prices surging. Flows have resumed partially after a preliminary US-Iran deal last month, however they remain below pre-war levels.
Iraqi output collapsed from 4.3 million bpd to less than 1.5 million bpd in May. Furthermore, Kuwait declared force majeure in March and Bahrain’s Sitra refinery was struck by Iranian missiles several times.
“The recent talks about new pipeline corridors involving Saudi Arabia, Kuwait and Qatar reflect a broader strategic reality. The conflict has focused minds regionally on the perils of relying solely on Hormuz,” said Zaid Belbagi, managing partner at London-based Hardcastle Advisory.
Aramco declined to comment while the Saudi and Bahraini government communications offices, the Iraqi oil ministry and QatarEnergy did not respond immediately to requests for comment.
Qatar, which mainly exports LNG, faces greater technical hurdles. Currently, Qatar is considering several potential alternatives, including via Saudi Arabia, three sources said.
The UAE, the only other Gulf state with meaningful Hormuz-bypass capacity, has completed half of a new West-East pipeline that will double crude capacity to Fujairah when it becomes operational next year. Its existing Abu Dhabi pipeline carries up to 1.8 million bpd.
East-West Pipeline (Pertoline) Expansion Project Factsheet
Length: 1,201 km
Origin Point: Abqaiq Oil Field (Eastern Province)
Terminus Point: King Fahd Industrial Port, Yanbu (Red Sea Coast)
Current Capacity: 7.0 million barrels per day (bpd) (Expanded in early 2026 from 5.0 million bpd)
Configuration: Twin-line system: 56-inch and 48-inch diameter pipelines
Pumping Infrastructure: 11 active mainline pumping stations
Operator: Saudi Aramco
Target Capacity Increase: An additional 1.0 to 2.0 million bpd, potentially bringing the network’s total throughput closer to 9 million bpd.
Regional Integration: Saudi Arabia is in talks with neighboring Gulf Cooperation Council (GCC) nations, specifically Kuwait, Bahrain, and Qatar. These nations lack alternative land-based bypasses out of the Persian Gulf. The expansion is being evaluated to accommodate barrels from these regional partners.
Scope of Works: The proposed upgrades are expected to feature a new, smaller secondary pipeline specifically optimized for refined oil products alongside upstream pumping station modifications.
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