Abu Dhabi's ADNOC Tenders 14M Barrels of Gulf Crude to Asian Buyers Amid Iran Conflict

According to reports, Abu Dhabi National Oil Company (ADNOC) sold at least 14 million barrels of UAE crude through a tender concluded last week, marking the first time such Gulf oil varieties have been offered this way since Iran tensions escalated. Insiders revealed that the sale included Upper Zakum, Umm Lulu, and Das crude grades destined for shipment between June and August. A second tender with similar terms is expected to conclude this week, with volumes anticipated to increase further.

The crude will be delivered to refiners in Japan, South Korea, and India. Pricing was offered at only a few dollars premium to Dubai benchmark, with at least one cargo sold at approximately $1 per barrel discount. Notably, these barrels can be lifted from locations outside the Persian Gulf, such as Fujairah or Sohar, bypassing the Strait of Hormuz.