U.S. says pipelines will make Strait of Hormuz be irrelevant. Energy experts disagree

Workers walk in the Zubair oil field, whose operations have being reduced since the start of the Iran war, near Basra, Iraq, March 28. Leo Correa/AP hide caption toggle caption Leo Correa/AP AMMAN, Jordan — The U.S. has announced new economic sanctions aimed at loosening Iran's hold on the Strait of Hormuz while counting on Middle East oil producers to quickly build new pipelines bypassing the key shipping route. But energy analysts say replacing shipping capacity through new infrastructure anytime soon is unlikely. The result is expected to be continued higher prices for consumers. "What we are going to see over the next two years — the strait is going to become irrelevant," Treasury Secretary Scott Bessent told an NBC affiliate earlier this month, adding that 50% to 70% of energy products normally shipped through the Strait of Hormuz would be transported through underground pipelines. "It is going to become just another body of water." Energy analysts and the international organization representing some of the biggest oil producing countries warn that the strait will continue to be essential for shipping into the near future. The United Arab Emirates says it expects a $3 billion ...