New UAE Pipeline, Record U.S. Oil & Gas Lease Auction: Your Daily Energy News

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News highlights compiled by Industrial Info Resources (Sugar Land, Texas) dealing with the energy markets.

Pipelines

ADNOC Head: UAE Pipeline Bypassing Strait of Hormuz 50% Complete
The head of Abu Dhabi National Oil Company (ADNOC) said a new crude oil pipeline in the United Arab Emirates (AUE) that will bypass the Strait of Hormuz is 50% complete. Industrial Info Resources data show the cost of the 500-kilometer Dhanna-Fujairah crude oil pipeline to be around US$3 billion. Subscribers to the Industrial Info Resources Global Market Intelligence (GMI) PIpelines Project Database can learn more by viewing the project report.

Production

New Mexico, Texas Oil & Gas Lease Auction Draws Record Bids
The U.S. Department of the Interior reports that an auction for oil and gas leases on federal lands in Texas and New Mexico this week drew more than $4 billion in winning bids, easily surpassing previous oil and gas auction records.

Terminals

U.S. Crude Oil, Gasoline Inventories Decrease
According to the U.S. Energy Information Administration (EIA) U.S. crude oil inventories fell 7.863 million barrels for the week ending May 15, excluding the Strategic Petroleum Reserve (SPR). SPR inventories decreased by a record 9.9 million barrels in the week. Gasoline inventories decreased 1.548 million barrels, and distillates were near flat, up 372,000 barrels week-on-week. U.S. refinery runs decreased 80,000 barrels per day (bpd) week-on-week to 16.319 million bpd lat week, according to the EIA.

Key Takeaways

• An oil and gas lease auction for federal lands in New Mexico and Texas this week netted a record $4 billion in winning bids.
• The head of ADNOC says a new UAE crude oil pipeline bypassing the Strait of Hormuz is 50% complete.
• U.S. crude oil inventories declined last week, with commercial stocks down 7.86 million barrels for the week, while SPR inventories declined a record 9.9 million barrels.

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About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 trillion (USD).