The United Arab Emirates (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 UAE’s crude oil production jumped from 3.3 million bpd in May to 4.1 million bpd in June after the country left OPEC effective May 1, started raising output, and managed to sneak a lot of exports out of the Middle East even as the Strait of Hormuz was mostly blockaded for the first half of June.
The crude oil production in June, at 4.1 million bpd, was the highest ever on record for the UAE, nearly double the output in March 2026 at the start of the Hormuz crisis. The production level also topped the previous record of 4 million bpd from the spring of 2020 when the OPEC+ producers were fighting for market share in a brief price war during peak Covid.
The UAE has sought to adapt to the closure of the Strait of Hormuz by sneaking tankers in dark mode through the Strait and increasingly offering to sell many of its crude grades for loading offshore Fujairah and at Sohar in Oman, outside the Strait.
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Moreover, the Abu Dhabi national oil company ADNOC accelerated plans to have a new pipeline operational in 2027 that would double its oil export capacity through Fujairah, which sits outside the Strait of Hormuz.
ADNOC plans to build a new project, the West-East 1 Pipeline, which is expected to become operational next year and double the UAE’s energy giant’s export capacity through the Emirate of Fujairah to meet global demand for energy supplies.
The national oil company also plans to plans to award as much as $55 billion (200 billion UAE dirhams) on upstream and downstream projects over the next two years. The announcement of accelerated growth came days after the UAE said it would quit OPEC effective May 1 to pursue its national interests.
By Charles Kennedy for Oilprice.com
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