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Market Chatter: TotalEnergies to Invest in Doubling Abu Dhabi's Fujairah Oil Pipeline Capacity

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TotalEnergies SE (TTE) plans to invest in doubling the capacity of Abu Dhabi's Fujairah oil export pipeline as it seeks alternatives to shipping along the Strait of Hormuz, chief executive officer Patrick Pouyanne said at an energy conference in Norway on Monday, according to a Reuters report.

Pouyanne said TotalEnergies would continue investing in the Middle East despite the ongoing war with Iran, with the company looking to put equity into infrastructure capable of bypassing the Strait of Hormuz.

He noted that, at present, TotalEnergies is probably the largest trader of oil from Iraq or Qatar, and it's clear to me that I need to put a certain amount of equity into an alternative route. TotalEnergies also plans to become a partner in a pipeline running from Baghdad to Syria and to invest in the expansion of the Fujairah pipeline in Abu Dhabi.

All of this comes amid the Strait of Hormuz, which typically handled one-fifth of global oil flows, has been paralyzed since the war between the US and Iran began over five months ago. TotalEnergies did not immediately respond to' request for a comment on this story.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Price: $88.73, Change: $-1.16, Percent Change: -1.29%

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