DP World in talks for new Fujairah port: How this factors into UAE's 'zero Hormuz dependency' plans

With threat levels in the Strait of Hormuz again set to 'severe' by the UK Maritime Trade Operations (UKMTO), the UAE continues with its plans to future-proof its shipping operations.

"Navigation interference persists, and mine-risk reporting remains relevant ... The threat environment remains heightened and warrants extreme vigilance. IRGC attacks, hailing, and routing pressure continue, particularly for AIS-active vessels," its July 16 advisory read.

In that regard, Dubai-based DP World is in talks to develop a brand new multi-purpose port in the coastal area of Fujairah, as well as a new terminal at the existing harbour in the same emirate, a Financial Times report said, citing sources.

It added that the plan was to bypass the Strait of Hormuz completely by building the new port on the eastern coast of the UAE, away from the mouth of the Persian Gulf.

The talks come amid recent attacks on three ships in the war-torn strait, which have so far killed at least two seafarers and injured many others.

This includes the Cyprus-flagged container ship GFS Galaxy (IMO: 9401271), which was hit by an "unidentified projectile" off the coast of Oman, and two UAE-bound crude oil tankers that faced similar attacks—the Mombasa B (IMO: 9739501) and the Al Bahyah (IMO: 9937799), both carrying the flag of Liberia.

Notably, the DP World talks are part of the UAE plans to move towards what it calls "zero Hormuz dependency", regardless of the situation in the Strait of Hormuz, where threat levels have changed multiple times over the course of the four-month-long war.

As per a Bloomberg report citing the UAE’s Minister of Foreign Trade, Thani Al Zeyoudi, the larger focus of the new plan is to expand the ports of Dibba, Fujairah and Khor Fakkan on the country's eastern coast, located outside Hormuz.

Another key part of the plan is to boost investment into the pipelines, rail, and road networks that will connect these eastern ports to the country's energy facilities.

In that regard, he explained that the UAE was looking to build a third petroleum pipeline that would build on this connection, much like the existing Habshan-Fujairah pipeline. Work on the second pipeline is also being fast-tracked.

“The direction is already there, we’re doing the whole feasibility studies to move on ... During those tough times, you always identify your gaps and you start working on it," Al Zeyoudi had said earlier.