Adnoc Uses Tanker Stealth Tactics to Keep LNG Exports Flowing

Adnoc, Abu Dhabi's state-owned oil company, has found a way to keep some liquefied natural gas (LNG) exports flowing through the Strait of Hormuz despite the ongoing conflict. By concealing the locations of its tankers, Adnoc has managed to maintain a trickle of LNG shipments.

According to Bloomberg News analysis of vessel-tracking data and people with knowledge of the matter, at least two tankers that loaded at Adnoc's Das Island facility recently went dark after the war began. These vessels stopped transmitting signals near the plant but were later seen carrying cargoes out of Hormuz.

Three other empty Adnoc LNG carriers also stopped broadcasting their positions after reaching the eastern entrance of the strait, ship data show. These vessels are masking their movements to head into the Persian Gulf via Hormuz to load cargoes, one person said.

The Strait of Hormuz has been largely shut down as the US and Iran struggle to reach a peace agreement, with both sides enforcing a de facto blockade on a waterway that normally handles about a fifth of global LNG supply. While Adnoc's move allows it to maintain some LNG production at its export plant, neighboring Qatar has not shipped any LNG through the waterway since the conflict began.

The approach used by Adnoc is a sharp break from past practice for LNG shipowners and operators, who are among the shipping industry's most risk-averse. Sailing through Hormuz without transmitting signals marks a significant shift in tactics as producers resort to riskier strategies to push fuel out of the region.