UAE State Oil Firm ADNOC to Start New Pipeline in 2027

2026-05-15

ADNOC Expands Bypass Exports

The Abu Dhabi National Oil Company (ADNOC), the state oil company of the United Arab Emirates (UAE), will begin operating a new crude oil pipeline in 2027. As concerns grow over Iran's prolonged de facto control of the Strait of Hormuz, the UAE will increase bypass exports through the Gulf of Oman from Fujairah in eastern UAE.

Order to Speed Up Completion

On the 15th, the Emirate of Abu Dhabi, one of the UAE's constituent emirates, said Crown Prince Khalid had instructed ADNOC at a meeting to accelerate completion of the new pipeline. According to overseas media, the existing pipeline has a transport capacity of 1.5 million to 1.8 million barrels per day. If the new line from the west to the east is added, capacity could double.

Racing to Diversify Supply Chains

In May, the UAE withdrew from the Organization of the Petroleum Exporting Countries (OPEC). It aims to distance itself from coordinated production through OPEC and expand crude output, which funds economic growth. Along with developing export routes that do not pass through the Strait of Hormuz, it is rushing to expand supplies to the world.

Before the US-Iran military clash, the Strait of Hormuz was a key maritime chokepoint through which about 20% of the world's crude oil passed. Ship traffic is now disrupted by a de facto maritime blockade. Even if a permanent ceasefire is reached, it remains unclear whether conditions will return to what they were before the conflict. Given the risk of a prolonged confrontation, the UAE is moving to expand alternative routes.

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