TotalEnergies to invest in Abu Dhabi pipeline expansion

Investing.com -- TotalEnergies will invest in expanding the Fujairah oil export pipeline in Abu Dhabi and maintain its investments in the Middle East despite the Iran war, CEO Patrick Pouyanne said Monday at an energy conference in Norway.

Pouyanne previously highlighted the need to fund alternative pipelines for oil exports from the Middle East due to the paralysis in the Strait of Hormuz during the U.S. and Israeli war with Iran. The strait typically handles transit for a fifth of global oil supply.

"We are today probably the largest trader of oil from Iraq or from Qatar ... and it's clear to me that I need to put a certain amount of equity to invest in an alternative route," Pouyanne said at the ONS conference.

The French oil company will become partners in the pipeline running from Baghdad to Syria and will invest in doubling the Fujairah pipeline in Abu Dhabi, Pouyanne added.

The Abu Dhabi Crude Oil Pipeline, also called the Habshan-Fujairah pipeline, currently carries up to 1.8 million barrels per day. The pipeline has become important as the United Arab Emirates works to maximize exports from the Gulf of Oman coast, located outside the Strait of Hormuz.

The UAE aims to double that export capacity by next year.

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