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UAE can export oil if Iran closes Hormuz
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Monday, 30 Jan 2012
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Gulf News cited Mr Dahi Khalfan Tamim chief of Dubai Police as saying that the UAE will be able to use ports on the Gulf of Oman for oil exports if Iran closes the Strait of Hormuz, transit point for about a fifth of the global oil supply.

Industry sources said that a strategic pipeline for UAE's oil exports to bypass the Strait of Hormuz could face more delay due to differences with the Chinese construction company.

The pipeline will have a capacity of around 1.5 million barrels per day and give the UAE an alternative route to exporting oil via the strait which Iran has threatened to block over western sanctions on its oil exports.

Industry sources said that Tehran's rhetoric has put planners under increased pressure to open the pipeline but a row over how the work has been done threatens even the latest target date.

Mr Dahi said that Iran is capable of fomenting tension in the region. We in the Gulf have cards in our hands that allow us to marginalize the role of the strait and undermine its importance.

He said that the pipeline will link the Habshan oilfields to the port of Fujairah, one of the top three bunkering hubs and a major oil storage terminal outside the Strait of Hormuz on the Gulf of Oman.

(Sourced from Gulf News)

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