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Oil producers eye pipelines to bypass Strait of Hormuz
Analysts warn that even with new routes, additional pipeline infrastructure could still be exposed to disruption risks affecting Middle East crude exports.
Oil producers are discussing and building new pipeline capacity aimed at reducing reliance on the Strait of Hormuz, according to CNBC Markets and CNBC World.
The idea is to move crude through alternative routes to help keep Middle East exports flowing if the Strait faces disruption.
However, CNBC reports that the bypass infrastructure would not eliminate the underlying threat environment, and analysts say pipelines themselves could still be vulnerable.
CNBC World and CNBC Markets therefore frame the pipeline effort as a partial mitigation rather than a full solution for risks to regional crude shipments.
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