Saudi Arabia is accelerating its oil pipeline expansion plan, aiming to raise the pipeline transportation capacity to destinations beyond the Persian Gulf to 10 million barrels per day within two to three years.

Saudi Energy Minister Abdulaziz bin Salman said Monday at the World Petroleum Congress in Riyadh that the related plans include upgrading the pump stations of the East-West oil pipeline and converting a natural gas pipeline for crude oil transportation. These measures are intended to strengthen the resilience of Saudi Arabia's energy infrastructure amid continued Houthi attacks. He stated that the converted natural gas pipeline could be put into use within seven to eight weeks at the earliest, with an initial daily oil transportation capacity of approximately 1.2 million barrels.

The above plans have a direct impact on the global crude oil market. The East-West oil pipeline has been the core channel for Saudi crude oil exports since the outbreak of the US-Iran war, serving the dual function of transporting export crude to the Yanbu port on the Red Sea and supplying feedstock to refineries on Saudi Arabia's west coast. A substantial increase in pipeline capacity will further reduce Saudi Arabia's dependence on the shipping route through the Strait of Hormuz.

East-West Pipeline Has Become a Core Wartime Export Channel

Abdulaziz bin Salman disclosed last week that as of October 6, the East-West oil pipeline's daily throughput had reached 5.8 million barrels, approaching its total designed capacity of 7 million barrels per day. The pipeline connects Saudi Arabia's eastern oil-producing region with the Red Sea coast, providing a key alternative route to bypass the Strait of Hormuz.

The energy minister emphasized that the role the East-West pipeline has played in the current crisis has fully covered its construction costs. As Houthi attacks on Saudi Arabia's energy and aviation infrastructure continue, enhancing pipeline resilience has become a priority issue in Saudi Arabia's energy security strategy.

Gas Pipeline Temporarily Converted, Dual-Use Retrofit Advances in Parallel

Regarding the natural gas pipeline conversion, Abdulaziz bin Salman stated that the pipeline's initial daily oil transportation capacity is approximately 1.2 million barrels, and with further investment, it could theoretically be increased to 3 million barrels per day. However, this arrangement is only temporary in nature.

He revealed that he has informed Saudi Aramco CEO Amin Nasser that the pipeline can be used for oil transportation until May of next year, after which it must be cleaned and restored to natural gas transportation to meet summer domestic gas demand.

At the same time, Saudi Arabia is working with Aramco to advance a dual-use retrofit of the pipeline by installing pump stations and compressors, enabling the pipeline to flexibly switch between transporting oil and gas according to actual needs, thereby enhancing the strategic flexibility of the infrastructure over the long term.