UAE: Abu Dhabi Energy

Abu Dhabi is putting the final touches on an oil pipeline that will allow the emirate to bypass the congested Strait of Hormuz, through which about 40% of all sea-borne crude is currently shipped. Completion of the project is viewed as increasingly timely, not only in reducing congestion in the Straits but also as geopolitical tensions with Iran have escalated in recent months.

The face of Abu Dhabi’s oil industry could be set for a major makeover, with long established international operators facing increased competition for existing concessions and new contracts due to be agreed in coming years. In particular, energy-hungry Asian states are queuing up to gain access to the emirate’s oil fields.