ADNOC Snaps Up Five Supertankers Amid Hormuz Crisis

ADNOC has acquired five supertankers to manage crude deliveries as the Hormuz crisis tightens vessel supply. The national oil company of Abu Dhabi paid about $590 million for the very large crude carriers (VLCCs), which can carry up to 2 million barrels each.

The acquisition comes as the UAE looks to boost crude oil production and exports, despite the regional conflict that has stalled traffic through the Strait of Hormuz. ADNOC Logistics and Services owns over 340 vessels and operates 600 chartered ships.

The UAE produced 4.1 million barrels per day (bpd) of crude oil in June, its highest output ever, according to estimates by the International Energy Agency. The country has sought to adapt to the closure of the Strait of Hormuz by sneaking tankers in dark mode through the Strait and offering to sell crude grades for loading offshore Fujairah and at Sohar in Oman.

ADNOC is also boosting its LNG carrier fleet to grow its international gas business. The company placed a $900-million order for four newbuild LNG carriers earlier this month to expand its fleet as Abu Dhabi's national oil company seeks to boost gas exports to seize the global rise in LNG demand.