Gulf states open pipelines to bypass Straits of Hormuz.

July 15, 2012 Oil 

FT: “The quiet opening of the pipelines comes amid heightened diplomatic tensions over Tehran’s nuclear programme. Iran’s oil production has fallen to its lowest in more than 20 years due to the impact of US and European sanctions, prompting Tehran to repeat its threats to shut down the strait, the conduit for a third of the world’s seaborne oil trade. The new links will more than double the total pipeline capacity bypassing the strait to 6.5m barrels per day, or about 40 per cent of the 17m b/d that transits Hormuz.” See Newsy for more.

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