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New UAE pipeline bypasses Strait of Hormuz for ensuring oil export to Asian markets

Published: December 4, 2012
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Source: BRCRD

The United Arab Emirates has laid down a 400 km pipeline from Habshan fields in Abu Dhabi to Fujairah terminal on the Gulf of Oman, which has the capacity of exporting 2 million barrels oil per day to Asian markets in case of any disruption in its shipment from the Strait of Hormuz.

This was stated by an official of the Fujairah government while talking to journalists from different countries, who were there at the invitation of National Media Council to attend 41th anniversary celebrations of UAE National Day. The day was celrebrated across the country on Sunday as Emiratis hung national flags at their residences showing their patriotism.

The UAE has started using the new pipeline in July this year, which was constructed by China from which three fourth of the country’s production of oil can be exported, which is about 2 million barrels a day. The UAE is also increasing Fujairah’s storage and off-loading capacities.

The country has spent about $200 million on laying the oil pipeline for having an alternate route to export its major source of revenue for sustaining current level of economic progress, which has a vital importance for realizing the vision of its late leader Shaikh Zayed bin Sultan Al Nayhan.

The Strait of Hormuz is a strait between the Gulf of Oman and the Persian Gulf providing the only sea route from the Persian Gulf to the open ocean from where at least 20 per cent of the world’s petroleum and about 30 per cent of the petroleum passed by the sea giving it an important strategic location. Journalists from all over the world were bused from Abu Dhabi to Dubai to visit the tallest building of the world, Burj Khalifa, which had emerged a tourist destination because of its serenity and peaceful ambience in the presence of its nicely built apartments and restaurants.


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