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FINANCIAL NEWS
UAE’s bypass-pipeline to operate in August: Official
04 Jul 2012
(MENAFN) Abu Dhabi Marine Operating Company CEO Ali Jarwan confirmed that the Hormuz Strait bypass pipeline that UAE has been building to transport crude oil will be fully operational by August, Reuters reported.
The 360 km Habshan-Fujairah pipeline is set to carry oil from fields in Abu Dhabi on the Gulf to Fujairah on the Gulf of Oman.
In late May, Fujairah ruler Shaikh Hamad bin Mohammed Al Sharqi said the pipeline would pump its first quantities in June, with an initial capacity of 1.5 million bpd rising to 1.8 million bpd. UAE’s current production is around 2.5 million bpd.
Fears that Iran would block the Hormuz Strait intensified, driving the UAE to speed up work on the pipeline project, which started in 2008.
Recently, it has been reported that Iranian MPs endorsed a bill banning Europe-bound tankers from using the Strait of Hormuz to punish EU nations that were involved in imposing sanctions on Iran.
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