Gulf states scramble for Strait of Hormuz alternatives

Months of blockades and uncertainty around the Strait of Hormuz have pushed energy exporters to look for ways to bypass the key shipping lane.

Iranian officials had insisted the waterway would remain closed and negotiations would not resume unless the United States complied with a June framework agreement and offered compensation to Tehran for alleged violations.

US President Donald Trump, however, said on Monday that the US Navy already controls the Strait of Hormuz .

"We've ​mine swept the entire strait," he told reporters at the White House.

The narrow waterway between Iran and Oman is one of the world's most critical oil shipping routes. Before the Iran war , it carried around 20% of global crude exports from the Persian Gulf to markets in Europe, Asia and North America.

Facing the prolonged disruption, however, Saudi Arabia has demonstrated that it can redirect substantial volumes away from the Strait of Hormuz. The United Arab Emirates (UAE) has had less success, despite possessing ports and pipelines specifically designed for that purpose.

The US-Iran war has placed greater importance on alternative shipping lanes through the Red Sea .

Saudi Arabia is sending its crude through the East-West Pipeline from the kingdom's eastern oil fields to the Saudi Red Sea port of Yanbu, enabling it to keep up shipments to global markets by circumventing Hormuz entirely.