Abu Dhabi National Oil Co. (Adnoc) has told some Asian refiners that part of its Upper Zakum crude may be delivered from the Fujairah terminal starting in the first months of 2027, according to people familiar with the matter cited by Bloomberg. The route would run through a new pipeline that bypasses the Strait of Hormuz, where shipping has been disrupted by the Iran war.
Upper Zakum is produced from fields inside the Persian Gulf, so its exports would normally pass through Hormuz. Redirecting part of the supply to Fujairah, on the Gulf of Oman, would keep those barrels out of the strait.
Pipeline capacity and construction
The existing Habshan-Fujairah pipeline can carry a maximum of 1.8 million barrels per day. The new West-East 1 line is the project that would add to that route.
In May, Adnoc said it was accelerating construction of West-East 1 and expected it to be ready next year. Adnoc Chief Executive Sultan Al Jaber said the line, once operational, would double the company’s export capacity through Fujairah. He said it was nearly half complete at that point.
Wider UAE output plans
The UAE has set a target of 5 million barrels per day of crude production capacity by 2027. The country left OPEC with effect from May 1.
The report did not say how much of Upper Zakum output would be routed through the new line.
Source: Adnoc
