Gaza conflict tests UAE-Israel ties
13 June 2024

The stance of the UAE towards Israel has cooled dramatically in the past eight months amid the conflict in Gaza, which is proving to be a major test of the partnership built between Abu Dhabi and Tel Aviv.
From boasting of warm and open trade dealings, the UAE has gone quiet on its business deals with Israeli partners, while on a political and diplomatic level the humanitarian tragedy in Gaza has increasingly drawn condemnatory statements from UAE officials.
It is a twist in developments that neither country could have foreseen, as nor indeed had Saudi Arabia, which was nearing its own normalisation agreement with Israel. It has also taken a bilateral strategic partnership that was long in the making into uncertain territory.
Long-term partnership
The 2020 Abraham Accords that normalised relations between the UAE and Israel came at the tail end of at least a decade’s worth of interaction between the two countries. The agreement emerged first and foremost as a set of shared strategic interests in opposition to regional threats in the early 2010s.
In a very tangible interaction in 2016, pilots from the UAE and Israel for the first time participated together in aerial combat training exercises hosted by the United States Air Force (USAF) in Nevada.
The UAE’s relationship with Israel also intersects with its relationship with the US, including its hope of securing access to advanced US military technology and assets, such as the F-35 Stealth Fighter Jet.
In September 2020, UAE foreign ministry spokesperson Hend Al-Otaiba stated that a request for the F-35 had been made six years previously, and that, “given that the UAE intends to be a partner to Israel, and already has a deep strategic partnership with the US, we are hopeful the request will be granted”.
While the sale of the F-35 by the US to the UAE has yet to materialise, relations between the UAE and Israel have nonetheless thrived on their own since the accords, on the basis of ongoing shared security interests and the opportunities for business, trade and investment between the two countries.
Since 2020, the value of trade between the UAE and Israel has swollen to about $3bn annually, and defence ties have only strengthened. In 2022, Israel supplied the UAE with air defence systems following long-range attacks on the UAE's oil infrastructure by the Iran-aligned Houthi movement in Yemen.
Israel-Palestine problems
It was as early as June 2023, however, that US Secretary of State Antony Blinken first warned that rising tensions in Palestine and Israel’s actions in the West Bank could imperil the process of normalisation.
With the advent of the war in Gaza, those fears of a damaging escalation in tensions have been realised.
As the conflict erupted in October, the UAE kept its distance and restricted itself to only the most limited commentary, condemning the “serious and grave escalation” by Hamas-led militants while calling for the full protection of all civilians under international humanitarian law.
By November, as the violence in Gaza ratcheted up, Abu Dhabi similarly affirmed its commitment to the accords even as individual UAE officials publicly condemned Israel’s actions and called for an end to the violence, pushing for a ceasefire, humanitarian aid and the release of hostages.
Anwar Gargash, a diplomatic adviser to the president, labelled the conflict a “profound setback” for the region, and stressed that the tragic course of events should lead to a political re-engagement on the issues of realising a two-state solution with East Jerusalem as its capital.
The close working relationship between the UAE and Israel nevertheless continued, as evidenced by Israel’s acquiescence to Abu Dhabi’s humanitarian efforts in Gaza, which have included the UAE setting up a field hospital and performing aerial aid drops in the territory.
The long grind of the conflict and the increasing inflexibility and intransigence on ceasefire negotiations by Israeli Prime Minister Benjamin Netanyahu have nevertheless steadily eroded this early good will.
While in early January, Gargash affirmed that the normalisation agreement was “a strategic decision, and strategic decisions are long-term”, by late January, senior UAE officials were ringing alarm bells.
Four months on, speaking at the Arab Media Forum in Dubai in late May, Gargash lambasted the conflict in Gaza as having taken on “brutal and inhuman dimensions”, stating that the “heinous attack in Gaza and Rafah cannot be overlooked” – a far more critical tone than his earlier conciliatory speech.
Unreliable partner
On the international stage, the disinclination of the Israeli government to listen to any of its key allies or partners has been trying for all, including the US. For Israel’s normalised partners in the Middle East, the conflict has underscored the tension between the Abraham Accords and underlying regional sentiments.
The UAE’s own founding father, Sheikh Zayed, was an ardent personal supporter of the Palestinian cause, and under his watch, the UAE was one of the first states to recognise Palestine as an independent state.
In the present, the humanitarian catastrophe in Gaza is drawing the competing influences of the UAE’s contemporary strategic interests and underlying sympathy for the Palestinian people into stark relief, and it is having a chilling effect on relations.
Public announcements in the UAE of deals with Israeli companies, which abounded before the conflict, have evaporated, and at least one very public deal has been put on hold amid the uncertainty.
Abu Dhabi National Oil Company (Adnoc) had been due to take a $2bn stake, alongside the UK’s BP, in Israeli gas producer NewMed, which holds 45% of Israel’s Leviathan offshore gas field.
In mid-May, Netanyahu suggested that the UAE could be involved in the governance of Gaza – drawing a swift rejection from UAE Foreign Minister Sheikh Abdullah Bin Zayed Al-Nahyan, who stated: “The UAE refuses to be drawn into any plan aimed at providing cover for the Israeli presence in the Gaza Strip.”
The episode was a stark demonstration of the breakdown in communication and diplomatic alignment between Abu Dhabi and Tel Aviv, and it joins a wider pattern of reports that UAE officials are already looking beyond Netanyahu and cultivating relations with his potential successors.
On 5 June, the UAE’s foreign minister again condemned the Israeli government after it allowed the divisive annual ‘Flag March’ of Israeli settlers through Jerusalem’s old city, as well as settler activism in the Al-Aqsa Mosque compound, despite the extraordinarily heightened tensions over Gaza.
For UAE-Israel ties to thrive, Abu Dhabi needs a government partner in Tel Aviv that it can work with on a productive basis to safeguard interests between the two countries while avoiding diplomatic affronts.
Unfortunately for the UAE, the current Israeli government – with the far-right ministers that Netanyahu has brought into the cabinet – has had a habit of proving itself to be the very antithesis of such a partner.
Looking ahead, it could be a long road for UAE-Israel ties to return to resembling their halcyon state of 2021-22, and it will take a government in Israel under someone other than Netanyahu to get there.
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Designed by US-based architectural firm Populous, the stadium will cover approximately 660,000 square metres (sq m), seat 92,000 spectators and stand adjacent to King Abdulaziz Park. Facilities will feature a 150-seat royal suite, 120 hospitality suites, 300 VIP seats and 2,200 dignitary seats.
The broader masterplan encompasses more than 360,000 sq m of ancillary facilities, featuring two training fields, fan zones, a closed sports hall, an Olympic-sized swimming pool, an athletics track, and outdoor courts for volleyball, basketball and padel.
Scheduled for completion by 2029, the venue will serve as the home base for the Saudi national football team and host the opening match and final of the 2034 Fifa World Cup.
Saudi stadium plans
In August 2024, MEED reported that Saudi Arabia plans to build 11 new stadiums and refurbish four existing venues for the 2034 tournament. Eight venues will be located in Riyadh, four in Jeddah, and one each in Al-Khobar, Abha and Neom.
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Hormuz crisis sparks regional pipeline project boom11 November 2026
Analysis
Wil Crisp
Oil & gas reporterRegister for MEED’s 14-day trial access
The ongoing disruption to shipping through the Strait of Hormuz and the Bab Al-Mandab Strait has sparked a regional pipeline project boom, as countries seek to diversify export routes for oil and gas.
Since the US and Israel attacked Iran on 28 February, several major pipeline projects have been announced, while others are being revived or accelerated.
Countries that are participating in this regional pipeline boom include Iraq, Syria and Egypt.
While the regional conflict has changed the dynamics within the oil and gas sectors of each of these countries in different ways, all of them see major pipeline projects as a key part of their strategic response to the conflict.
Iraqi expansion
Iraq is one of the region’s oil exporters that has been hit the hardest by the disruption to shipping through the Strait of Hormuz.
Prior to the start of the regional conflict, the country was routing 94% of its total exports through the strait, with about 3.4 million barrels a day (b/d) being exported through its southern ports at the start of the year.
At the same time, about 200,000 b/d was being exported via the Iraq-Turkiye Pipeline (ITP) in the north of the country.
In the wake of the disruption to shipping through the Strait of Hormuz, Iraq has increased the volumes being exported via the ITP and has boosted its crude exports by truck through Syria.
Earlier this month, domestic news outlets reported that Iraq’s State Oil Marketing Organisation is exporting 500,000 b/d through the ITP.
The daily exports consist of 125,000 barrels of Kirkuk crude, 175,000-200,000 barrels of Kurdistan Region crude and about 200,000 barrels of Basra crude, according to the reports.
The Basra oil reaches collection stations at Sarallu and Khurmala by truck and from there is pumped north to Ceyhan in Turkiye.
The volume of crude exported from Iraq by truck to the Syrian port of Baniyas has risen significantly in recent months.
In October, Youssef Qablawi, the chief executive of the state-owned Syrian Petroleum Company, said that about 1,000 trucks were transporting fuel oil to Syria each day, with each truck carrying about 220 barrels.
This represents exports of 220,000 b/d, which is a significant volume for Iraq, but transporting crude by truck is much more expensive than using a pipeline.
Because of this, Iraq sees pipeline projects as a long-term solution to its reliance on the Strait of Hormuz and is rapidly pushing ahead with projects that are designed to replace exports currently transported by road, as well as increasing the volumes that can be exported via both Syria and Turkiye.
Earlier this month, MEED reported that the governments of Iraq and Syria, state-owned oil companies and a consortium led by Qatar’s UCC are currently discussing the terms of a deal for four interconnected pipeline packages that are expected to have a total value of about $5bn.
Stakeholders expect a contract to be signed before the end of the year that will make the UCC-led coalition the selected developer responsible for tendering engineering, procurement and construction (EPC) contracts for the project.
The consortium includes US-based Chevron, investment company TI Capital and France’s TotalEnergies.
The four pipeline routes that are being discussed are:
- Basra to Najaf
- Najaf to Haditha
- Haditha to Fish Khapour
- Haditha to Banias Port in Syria
The proposed plan will use a fast-track framework to bring the pipelines online as quickly as possible.
Red Sea route
Iraq and Saudi Arabia are also considering reviving an old pipeline route between the Zubair oil field in Basra and the Red Sea port of Yanbu.
Operations of this 1,568-kilometre (km) pipeline were halted in August 1990 following Iraq's invasion of Kuwait and the onset of the Gulf War.
At the end of October, Saudi Arabia granted preliminary approval to revive the joint oil export pipeline project, according to a report published by Saudi Arabia’s Shafaq News, which cited anonymous sources.
If the pipeline is reinstated, it could allow Iraq to export oil via the Red Sea, reducing its reliance on the Strait of Hormuz.
The pipeline was originally built at a cost of more than $2.6bn and featured a large network of storage tanks and offshore loading terminals.
Syrian strategy
In addition to its involvement in Iraq’s strategic export pipeline project, Qatar’s UCC is developing a pipeline project in Syria that will increase the country’s ability to deal with future supply disruptions.
On 30 September, UCC announced that it has , which will extend 186km between Homs and Aleppo.
The 36-inch pipeline will have a transmission capacity of up to 11 million cubic metres a day (cm/d) of gas and will connect gas networks in Jordan to those in Turkiye via Syria.
In its announcement, UCC said that the project is scheduled for completion within 22 months and will contribute to strengthening Syria’s gas infrastructure; enhancing the capacity of its gas transmission network; and supporting regional connectivity with Jordan, Turkiye and Lebanon.
Hisham Al-Saleh, Syrian Petroleum Company’s deputy chief executive for the gas sector, has said that the project includes the installation of three compressors in Furqlus, which will allow gas to be transported in both directions between Turkiye and Jordan.
Speaking to the state-owned Syrian Arab News Agency, he said that the project will add an estimated 8 million cubic metres of storage capacity to the Syrian gas network, providing greater flexibility in managing gas production and use.
Egyptian ambitions
Egypt is also ramping up pipeline project activity in order to increase the number of oil and gas links that it has with neighbouring countries.
The North African nation has long had ambitions to try and become a major regional energy hub.
These plans have been given a boost by the ongoing disruption to shipping through the Strait of Hormuz and the Bab Al-Mandab Strait, which has reduced exports from nations like Qatar, Kuwait, Iraq, the UAE and Saudi Arabia.
Concerns about the reliability of exports from Iraq and the GCC have led to increased investment in oil and gas infrastructure in countries that are not reliant on these waterways to transport hydrocarbons.
In recent months, significant progress has been made on an integrated project that was launched in order to export offshore gas reserves in Cyprus via Egyptian energy infrastructure.
In October, Italian oil and gas company Eni signed the main EPC and drilling contracts for the project, which will develop the Cronos field.
The project includes contracts with several companies that will develop infrastructure in both Egypt and Cyprus.
The awards include a $170m contract that has been won by Egypt’s Petrojet for a new onshore gas pipeline in Egypt that will help to transport gas to Egypt’s Damietta liquefied natural gas (LNG) facility.
Separately, US-based Baker Hughes signed a contract for the design, procurement and construction of subsea production systems, including associated equipment and control systems.
In September, it was announced that US-headquartered McDermott will carry out offshore work for the project, including the transportation, installation and connection of subsea pipelines and equipment.
The Cronos development project will significantly increase the volume of gas being imported into Egypt, where it can be exported as LNG as well as helping to meet domestic demand.
On top of the major pipeline project allowing the importation of gas from Cyprus, Cairo is also looking at other regional pipeline projects, including gas links to Libya.
In a statement released earlier this month, Egyptian Foreign Minister Badr Abdelatty said that a Libyan team will visit Cairo soon to continue technical talks about the gas pipelines, as well as other energy projects, with Egypt’s petroleum and electricity ministers.
Pipeline problems
While the planned oil pipeline projects in Iraq are seen as a possible solution to the disruption to shipping through the Strait of Hormuz, they are also likely to face problems relating to the importation of necessary equipment that would normally be shipped through the waterway.
The Common Seawater Supply Project, designed to bring water from the sea to inject into oil fields, is currently behind schedule, largely because of problems importing the pipeline segments through the strait.
This issue could plague other planned pipeline projects in Iraq if the disruption to shipping continues, forcing contractors to use other, more costly, import routes.
Challenging conditions
Even when Iraq’s major export pipeline projects are completed, they may fail to resolve the country’s oil export problems to the extent many are expecting.
While the export pipelines will go some way towards diversifying away from reliance on exports through waterways where oil and gas tankers are vulnerable to militant attacks, many industry insiders say Iraq could just be replacing one vulnerable export route with another.
Oil pipelines in the Middle East and North Africa region have a long history of suffering attacks and often stretch long distances through remote regions where they are difficult to defend.
Ultimately, it is likely that finding a diplomatic solution to the regional conflict will be the only way that Iraq can reliably increase its oil exports in the long term.
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Saudi Arabia approves revival of Iraq oil pipeline11 November 2026
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Iraq and Saudi Arabia are considering reviving an old pipeline route between the Zubair oil field in Basra and Saudi Arabia’s Red Sea port of Yanbu.
Operations of this 1,568-kilometre (km) pipeline were halted in August 1990 following Iraq’s invasion of Kuwait and the onset of the Gulf War.
At the end of last month, Saudi Arabia granted preliminary approval to revive the joint oil export pipeline, according to a report published by Saudi Arabia’s Shafaq News that cited anonymous sources.
If the pipeline is reinstated, it could allow Iraq to export oil via the Red Sea, reducing its reliance on the Strait of Hormuz.
The pipeline was originally built at a cost of more than $2.6bn and featured a large network of storage tanks and offshore loading terminals.
Under current discussions, Iraq will be required to fund the restoration of its own section of the pipeline.
The Middle East and North Africa region is currently experiencing a boom in pipeline project activity due to disruption to shipping as a result of the war that started when the US and Israel attacked Iran on 28 February 2026.
As a result of the conflict, the shipping of gas, chemicals, oil and refined products has been disrupted in both the Strait of Hormuz and the Bab Al-Mandab Strait.
Many countries, including Saudi Arabia and Iraq, see pipelines as a key way of diversifying export routes so that they are less reliant on shipping through these two waterways.
MEED’s October 2026 report on Saudi Arabia includes:
> COMMENT: Saudi projects hold steady
> GOVERNMENT: Riyadh looks to reset its regional defence outlook
> ECONOMY: Conflict bolsters case for Saudi economic diversification
> BANKING: Saudi lenders readjust to lower lending and deposit climate
> UPSTREAM: Aramco upstream spending gathers pace
> DOWNSTREAM: Sabic steps up Saudi petchems investment
> POWER: Saudi Arabia’s power award activity slows
> WATER: Saudi water sector hits sharp slowdown
> CONSTRUCTION: Saudi construction defies the headwinds
> TRANSPORT: Saudi infrastructure pushes forward amid conflict
> DATABANK: Saudi data indicates project spending shiftTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/21304885/main.jpg -
Dubai approves metro extension to Al-Maktoum airport10 November 2026
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Dubai’s Executive Council has approved a project to extend the Dubai Metro’s Route 2020 to Al-Maktoum International Airport City, with passenger services scheduled to begin operations in 2031.
Sheikh Hamdan bin Mohammed bin Rashid Al-Maktoum, Crown Prince of Dubai, announced the decision following a council meeting held during the UAE Government Annual Meetings 2026.
The rail project forms part of a package of strategic schemes worth over AED11bn ($3bn) approved by the council.
The wider approvals include a comprehensive framework to upgrade community facilities and public services by 2040, with priority given to residential communities for UAE citizens.
حمدان بن محمد يترأس اجتماع المجلس التنفيذي لإمارة دبي ضمن الاجتماعات السنوية لحكومة دولة الإمارات، ويعتمد خلاله موازنة بقيمة أكثر من 11 مليار درهم لمشاريع استراتيجية جديدة في دبي، وخطة شاملة لتطوير الخدمات والمرافق المجتمعية، ومشروع امتداد مترو دبي إلى مطار آل مكتوم الدولي، كما أعتمد سموه خلال الاجتماع نتائج دراسة مستقبل السوق العقاري في دبي.
— Dubai Media Office (@DXBMediaOffice) November 10, 2026
The project approval follows the procurement of detailed design work for the rail link. MEED exclusively reported in September that Dubai’s Roads & Transport Authority (RTA) had awarded US-based engineering consultancy Aecom the design contract for the Route 2020 extension.
The planned extension will run for about 3 kilometres from the existing Expo 2020 terminus station to connect directly with the West Terminal of Al-Maktoum International airport. The scheme will add two new stations to the network.
The existing Route 2020 corridor is a 15km spur that branches off the Dubai Metro Red Line at Jebel Ali station. It comprises 11.8km of elevated viaduct and 3.2km of underground track, serving five elevated and two underground stations.
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Bahrain tenders 100MW Bilaj Al-Jazayer solar project10 November 2026

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Bahrain’s Electricity and Water Authority (EWA) has issued a tender for the Bilaj Al-Jazayer independent power project (BAJ solar IPP), a utility-scale solar scheme with a planned capacity of at least 100MW.
The project will be procured on a public-private partnership basis using a build-own-operate (BOO) model.
The selected developer will develop, finance, design, construct, operate, maintain, decommission and restore the project site over a 25-year contract period.
EWA has set a target commercial operation date of 31 December 2028.
The scope includes photovoltaic generation facilities, utility-scale inverters, access roads and internal roads. The plant will use proven photovoltaic modules and inverters designed for Bahrain’s local operating conditions.
The tender was published on 8 November. Companies have until 20 December to submit bids, with bid opening scheduled for 21 December.
The tender requires an initial bond of BD300,000 ($796,000).
The project will be awarded through a single-stage request-for-proposals process.
Bidders will first be assessed against minimum eligibility requirements covering financial strength, project-financing capability and experience in large-scale solar developments before their technical and financial proposals are evaluated.
A single bidder must demonstrate tangible net worth of at least $50m.
In a consortium, each member must demonstrate net worth equivalent to its proposed shareholding in the $50m threshold, while the managing member must have a tangible net worth of at least $20m.
The managing member must also have secured at least $150m of limited-recourse financing across three or more infrastructure projects during the past 10 years. It must hold at least a 15% equity stake in each reference project.
Bidders or their engineering, procurement and construction contractors must demonstrate experience delivering either three grid-connected ground-mounted solar projects of at least 100MWac each globally, or two projects of at least 70MWac each in the GCC. The reference projects must be connected to the grid at 66kV or above.
The BAJ solar IPP supports Bahrain’s target of sourcing 20% of its energy from renewable sources by 2035.
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