First crude oil cargo from ADNOC sets sail for ISPRL

Lloyd Doyle
May 13, 2018

Crude prices remained just below multi-year highs, with Brent on track for a weekly 2.8 per cent gain and United States crude a 1.2 per cent weekly rise.

"There was an oil minister earlier too. We are watching very carefully", he said.

Adnoc's facilities now process 10.5 billion standard cubic feet of gas per day and produce some 40 million tonnes annually of refined products, such as granulated urea, liquefied petroleum gas (LPG), naphtha, petrol, jet fuel, gas oil and base oils, fuel oil, as well as feedstock for chemicals. Analysts now expect Iran's supplies to fall by between 200,000 bpd and 1 million bpd, depending on how many other countries fall in line with Washington. When sanctions were loosened against Tehran, India increased imports from Iran to nearly 900,000 bpd in late 2016, but intake has fallen back to around 500,000 bpd this year.

Abu Dhabi National Oil Company (Adnoc) will invest Dhs165 billion ($45bn) in downstream operations in partnership with global players over the next five years as the company looks to build the world's largest integrated refining and petrochemicals facility, with plans underway to create a manufacturing ecosystem at Ruwais. Saudi Aramco in April signed a deal with India for a 50 per cent stake in the project.

Oil and Petroleum Minister Dharmendra Pradhan along with ADNOC Director-General and Chief Executive Officer (CEO) Dr. India will have the first rights to the stored crude in case of an emergency. Sultan Ahmed Al Jaber flagged off the first consignment of ADNOC crude oil for SPR facility of Indian Strategic Petroleum Reserves Ltd (ISPRL) at the ADNOC headquarters Panorama Digital Command Centre in Abu Dhabi.

"With this partnership, new market opportunities will open up for Adnoc, as we not only help to ensure the energy security of the UAE's largest trading partner, but also gain greater access to one of the fastest-growing markets for high-quality crude oil".

Adnoc will store about 5.86 million barrels of oil in the cavern at its own cost, the statement said.

Other reports by Iphone Fresh

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