Amna Assem

The UAE is seeking to accelerate the implementation of a new oil pipeline through the Emirate of Fujairah - which overlooks the Gulf of Oman - to increase oil export capacity, away from the Strait of Hormuz, which is the main outlet for Gulf oil exports and through which about one-fifth of the world's oil passes, and which has been halted since the outbreak of the Iran war.

Very fast background

The war disrupted exports from most of the Gulf states, while Saudi Arabia managed to create an alternative route for its exports, enabling it to reduce the impact of the strait's closure, via the Saudi East-West oil pipeline, which connects the oil fields to the port of Yanbu on the Red Sea coast.

The UAE has intentions to gradually increase its oil production, which prompted it to announce its withdrawal from the Organization of the Petroleum Exporting Countries (OPEC) and OPEC+, starting this May, so as not to be bound by a specific production volume, in order to meet the expected energy demand.

The UAE has an existing oil pipeline, known as the Habshan-Fujairah pipeline, with a capacity of up to 1.8 million barrels per day, according to official data.

What are the details?

(According to a statement from the Abu Dhabi Government Media Office and official statements)

- The project is being implemented through the Abu Dhabi National Oil Company (ADNOC).

- The project is to create the "West-East 1 pipeline" and aims to double ADNOC's export capacity.

- The project is currently being implemented and is expected to be operational in 2027.

(Prepared by: Omnia Assem, Edited by: Fatima El-Kashef and Shaimaa Hefzy, Contact: zawya.arabic@lseg.com )

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