According to the IEA, the UAE’s oil exports increased from 1.9 million barrels per day in March, just after the conflict started, to 4.3 million barrels per day in early June.
As per a Bloomberg report, Abu Dhabi National Oil Co. of the United Arab Emirates has been utilising its own fleet to covertly transport oil and gas shipments out of the Persian Gulf during the conflict, reportedly avoiding both US and Iranian warships to reach customers in need of energy. As a result, Adnoc became one of the most active shippers in the area, frequently utilising smaller tankers.
During the supply crisis, the market defied many of the industry’s pessimistic predictions for prices as high as $200, and that kind of shipment was one of the numerous workarounds that helped prevent oil from soaring even higher.
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A significant and unanticipated fall in Chinese demand coincided with record US shipments and the constant stream of crude passing over the strait.
Following the signing of an interim peace agreement between the United States and Iran and an increase in oil flows through the crucial strait, oil prices are currently trading close to pre-war levels. Some ships still choose to switch off their transponders for part of the passage, although more ships are now signalling their transits.
In addition to its 42-million-barrel Mandous underground storage facility close to the port, the UAE was able to accomplish this by utilising a pipeline that avoids the Strait of Hormuz to the port of Fujairah.