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What you need to know before registering a company in the UAE
Company Registration
Banking Solutions in the UAE & Oman
Corporate Compliance & Reporting
Annual Corporate Maintenance Services in the UAE
Legal & Corporate Support Services
Business Acquisition & Ready-Made Companies in the UAE
Corporate Legal Services in the UAE
Business Partnerships & Joint Ventures in the UAE
Types of companies in the UAE. Types of activities
UAE Visas
Government Bodies. What Issues They Address
Types of Legal Entities
Licensing
What you need to know before registering a company in the UAE
Company Registration
Banking Solutions in the UAE & Oman
Corporate Compliance & Reporting
Annual Corporate Maintenance Services in the UAE
Legal & Corporate Support Services
Business Acquisition & Ready-Made Companies in the UAE
Corporate Legal Services in the UAE
Business Partnerships & Joint Ventures in the UAE
Types of companies in the UAE. Types of activities
UAE Visas
Government Bodies. What Issues They Address
Types of Legal Entities
Licensing
## Strategic Importance of the Strait of Hormuz
The Strait of Hormuz is a critical maritime passage for global energy, with about 20% of the world's oil and a significant portion of liquefied natural gas passing through daily. Disruptions here can lead to significant global price volatility, as seen in recent events described as the largest oil supply disruption in history.
## Saudi Arabia's East-West Pipeline
Saudi Arabia operates the East-West pipeline, which connects its eastern oilfields to the Red Sea port of Yanbu. This 1,200-km pipeline can transport up to 7 million barrels per day, although practical constraints reduce this to around 4.5 million. This route allows exports to bypass the Gulf, heading towards Europe or Asia, though it introduces another chokepoint at the Bab el-Mandeb.
## UAE's Habshan-Fujairah Pipeline
The UAE's Habshan-Fujairah pipeline provides a geographic advantage by bypassing the Strait of Hormuz entirely. It carries 1.5–1.8 million barrels per day from inland fields to the Gulf of Oman. Fujairah has become a key storage and bunkering hub, although its capacity is limited compared to overall Gulf export volumes.
## Iraq's Diversified Routes
Iraq utilizes multiple smaller routes, such as the Kirkuk-Ceyhan pipeline to Turkey, which currently handles about 170,000 barrels per day. Plans exist to increase this to 250,000 barrels. Iraq also exports overland via Syria, though this increases costs and complexity.
## Iran's Goreh-Jask Pipeline
Iran has developed the Goreh-Jask pipeline to transport oil to the Gulf of Oman, aiming for a capacity of 1 million barrels per day. However, the infrastructure is not yet fully operational, limiting its effectiveness in offsetting disruptions.
## Long-term Alternatives and Challenges
Several long-term projects aim to reduce reliance on the Strait of Hormuz, such as a proposed pipeline from Basra to Oman’s port of Duqm and an Iraq-Jordan pipeline to Aqaba. However, these face significant financial, political, and engineering challenges, making them unlikely to provide immediate relief.
## Conclusion...
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