Saudi Arabia weighs pipeline expansion to bypass Hormuz – Reuters

Saudi Arabia is considering expanding the capacity of its crude oil pipeline to the western Red Sea coast, allowing it and possibly neighboring states to move more oil without crossing the Strait of Hormuz, Reuters reported on Tuesday, citing five sources close to the matter.

The country is in preliminary talks with some neighbors about a potential capacity increase of up to 2 million barrels per day, according to the report.

It was unclear whether the plan would involve upgrades to existing infrastructure or a new pipeline. One source said the expansion would include a smaller second pipe for oil products.

The project could take years, cost billions of dollars and require changes to Saudi crude pricing, another source said, according to the report.