Saudi Arabia Develops Pipeline to Oman Amid Disruptions in Strait of Hormuz

Saudi Arabia is planning to develop a new oil pipeline to Oman's coast as it seeks alternative routes for crude exports. According to Patrick Pouyanne, CEO of TotalEnergies, Saudi Arabia has 'begun to work' on the project to build a pipeline to Duqm.

Duqm is home to Oman's largest oil refinery and analysts speculate that this pipeline could secure access to the Indian Ocean for Saudi Arabia. This would allow it to serve its customers in Asia more efficiently.

Rahul Choudhary, vice president of upstream research at Rystad Energy, estimates that the pipeline will be approximately 1,000 km long and may cost up to $7 billion to develop.