The United Arab Emirates (UAE) will fast-track construction of a new oil pipeline to Fujairah, aiming to double export capacity outside the Strait of Hormuz by 2027. The project, ordered by Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed bin Zayed, is intended to strengthen the UAE’s ability to bypass disruptions in the Strait amid ongoing regional tensions.
The new pipeline will expand the country’s existing Habshan–Fujairah export route, which currently carries up to 1.8 million barrels per day. The UAE and Saudi Arabia remain the only Persian Gulf producers with major crude export pipelines that avoid Hormuz.
The move comes shortly after the UAE’s exit from OPEC, freeing the country from production quotas and allowing it to pursue higher output capacity. ADNOC is targeting 5 million bpd production capacity, with the potential to increase to 6 million bpd if needed.
The Strait of Hormuz disruption has sharply reduced Persian Gulf oil exports, increased energy prices, and forced some Persian Gulf producers to reroute shipments. The UAE has increasingly relied on Fujairah as a strategic export hub for both oil and non-oil trade.