Abu Dhabi National Oil Company said its new crude pipeline bypassing the Strait of Hormuz is nearly 50% complete.
The United Arab Emirates accelerated construction after disruptions linked to the Iran war hit global oil supplies.
ADNOC chief Sultan Al Jaber shared the update during a live streamed Atlantic Council event on Wednesday.
“Today, it’s already almost 50% complete, and we are accelerating its delivery toward 2027,” Al Jaber said.
The project aims to double UAE oil export capacity through Fujairah by 2027.
Last week, the Abu Dhabi Media Office announced the fast tracked project after Crown Prince Sheikh Khaled bin Mohamed bin Zayed directed ADNOC to speed up construction.
The UAE has invested for years in alternative export routes outside the Strait of Hormuz.
“Right now, too much of the world’s energy still moves through too few choke points,” Al Jaber said.
“That is exactly why the UAE made the decision more than a decade ago to invest in infrastructure that bypasses the Strait of Hormuz.”
Hormuz Disruptions Continue to Shake Energy Markets
Iran has largely restricted shipping access through the Strait since US Israeli strikes on February 28 triggered a broader regional conflict.
The disruption pushed oil prices higher and raised concerns about global energy supplies.
The UAE’s existing Abu Dhabi Crude Oil Pipeline already transports up to 1.8 million barrels of crude per day to Fujairah.
Al Jaber warned that global oil flows could take months to recover fully after the conflict ends.
He said markets may need at least four months to recover to 80% of pre conflict levels.
He also warned that full recovery may not happen before early 2027.
“Once you accept that a single country can hold the world’s most important waterway hostage, freedom of navigation as we know it is just finished,” he said.
“If we don’t defend this principle today, we will spend the next decade defending against the consequences.”
The UAE also faced attacks during the conflict.
Al Jaber said more than 3,000 missiles and drones targeted civilian infrastructure, including ADNOC facilities.
Damage assessments continue and some operations still need weeks or months for full recovery.
“The UAE was attacked for its model of development,” he said.
UAE Expands Energy Strategy Beyond OPEC Limits
The project follows the UAE’s recent withdrawal from the Saudi led Organization of the Petroleum Exporting Countries alliance.
The move removed UAE production quotas and gave the country more export flexibility.
Al Jaber called the withdrawal a “sovereign, strategic decision” driven by rising global energy demand.
He also warned that the world continues to under invest in oil production.
According to Al Jaber, global spare production capacity should rise from 3 million barrels per day to around 5 million.
He also linked future energy demand to artificial intelligence growth.
“In many ways, the AI race is an electron race,” he said.
Al Jaber added that ADNOC, XRG and Masdar now hold investments worth $85 billion across 19 US states.
