ADNOC Gas adjusts production amid Hormuz crisis (Reuters)
ADNOC Gas adjusts production amid Hormuz crisis (Reuters)Abu Dhabi's state-owned ADNOC Gas said on Monday it has made temporary adjustments to its liquefied natural gas production in response to shipping disruptions in the Strait of Hormuz. The company, however, maintained that operations across its facilities remain unaffected.
"Operations are continuing safely across ADNOC Gas plc's asset base. Following debris falling near certain facilities, inspections confirmed no injuries and no impact to core processing integrity," ADNOC said in an exchange filing.
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The company said it has altered output levels to manage disruptions in Hormuz. "In response to ongoing shipping disruption in the Strait of Hormuz, the Company has separately made temporary operational adjustments to production of Liquefied Natural Gas and Export Traded Liquids," the state major said, adding that it is actively collaborating with customers and partners on a "transaction-by-transaction basis to fulfill commitments wherever possible."
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ADNOC Gas added that it remains focused on continuity and safety. "Our balance-sheet strength and capital discipline support the resilience of the Company. The Company’s continued focus is on ensuring the safety of staff, contractors, partners, and operations while continuing to serve its customers."
The adjustments come as tensions in the Gulf have disrupted shipping through the Strait of Hormuz, a critical route for global energy supplies.
The US-Israeli conflict with Iran escalated over the weekend after President Donald Trump warned he would "obliterate" Iran's power plants if the waterway was not reopened. Iranian officials responded by saying they would close the strait and target energy infrastructure across the region if attacked.
On Monday, Trump said talks were underway and announced a temporary pause in military action. "I am pleased to report that the United States of America, and the country of Iran, have had, over the last two days, very good and productive conversations regarding a complete and total resolution of our hostilities in the Middle East," he wrote, adding that he had ordered a five-day postponement of strikes.
ADNOC's Das Island facility, which has LNG capacity of 6 million metric tons a year, lies within the Gulf and relies on transit through the Strait of Hormuz for shipments. The Habshan gas processing complex, with a capacity of 6.1 billion standard cubic feet per day, has resumed operations after a shutdown on March 19. That suspension followed two incidents of fallen debris after the successful interception of a missile.