Habshan–Fujairah oil pipeline

But only difference that we observed right now and in the past that people or the suppliers, they found a new ways to supply the market.

We have observed Saudi Arabia, they achieved supply through the east-west pipeline and then we have another ADCOP pipeline.

There are some tankers, I am talking about the road tankers, in a record number of tankers they are going into the Syria and from Syria it is exporting crude.

from the syrian ports and then we also observed some of the tankers they're taking a lot of risk and they're doing sts uh from state of hormuz despite uh despite there are a lot of risk of attacks some of the ships were kind of compliant ships they also got attacked and overall i would say that this is one of the largest disruption in the world

Saudi Arabia has the East-West Pipeline that carries oil to the Red Sea, completely avoiding Hormuz.

The UAE built the Habshan-Fujairah Pipeline, which dumps oil directly into the Gulf of Amman, just outside the choke point.

But Pipeline Pete is ignoring the ruthless mechanics of mathematics.

Let's look at the actual data.

That showed the vulnerability of, uh, the alternatives.

And the, uh, other major pipe- pipeline that, uh, exists and that has been used by the, uh, Gulfis, in this case the UAE, the, uh, Habshan–Fujairah, uh, pipeline, which is the UAE's, uh, west-to-east pipeline, that is also vulnerable to, uh, to Iranian strikes.

So at the end of the day, there has to be, uh, an arrangement, uh, in which, uh, Iran and, uh, other countries around, uh, uh, the Persian Gulf can come to terms.

But, uh, the challenge is that because there is just a lot of factors involved, a lot of, uh, different priorities that these countries have, and most importantly because there's still an ongoing war, uh, between, um, the United States and Iran, and the expectation of the resumption of the hostilities as we just discussed, which means that the, uh, existential mindset is, is still there in Tehran.

I mean, you know, the capacities are um from from the terminals are are a little smaller so it depends on what the loadings look like but you know again one of my my colleagues in energy intelligence recently performed an analysis on this that took a look at a lot of those dark transits that showed that uh those flows were were higher than previously thought to the to the tune of around 1.7 million barrels per day uh so you know that that kind of illustrates the volumes that we're talking about uh certainly you know you saw the price impact uh after these attacks took place um and you know we're we you've you've gotten varying reports on the pace of uh repairs and and you know what what flows through east west have been able to continue which i'm sure we'll get into in a bit more depth but I mean, in short, this is the biggest piece of bypass infrastructure, alternate export infrastructure for a Gulf producer.

The UAE has the ADCOP pipeline that goes to Fujairah, but it doesn't have the same capacity as the east-west pipeline.

So this is the biggest hit on a piece of infrastructure that allows anyone in the Gulf to bypass the strait and shore.

Thank you, Colby.

Mm.

East-West Pipeline and Ad- and ADCOP reroutes, they had never been, they had never been fully maxed.

We weren't sure whether or not they could be maxed without logistical constraints.

Mm.