Tuesday 14 August 2012

Oil exporters to avoid dire straits - The National

Iranian threats to block the waterway crossed by a third of global maritime crude exports have led Arabian Gulf producers to focus on ways to circumvent the bottleneck.

Strategic pipelines - old and new - have received much attention from governments in recent months, but years of neglect have left this mode of transport ill-equipped to cope with a serious disruption in tanker exports.

Tehran has repeatedly threatened to block the Strait of Hormuz, a 51km stretch of water that separates the Arabian Peninsula from Iran. This is in response to a fresh round of sanctions imposed by the United States and the European Union aimed at crippling oil exports over its nuclear programme.

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