Aramco, BAPCO's New Pipeline to Meet Bahrain Energy Demand

Aramco, BAPCO's New Pipeline to Meet Bahrain Energy Demand
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Aramco, BAPCO's New Pipeline to Meet Bahrain Energy Demand

Aramco, BAPCO's New Pipeline to Meet Bahrain Energy Demand

Saudi Aramco and the Bahrain Petroleum Company (BAPCO) announced on Tuesday the successful operation of the AB-4 pipeline, marking a new phase in the strategic Aramco-Bahrain crude oil pipeline.

The new pipeline aims to meet Bahrain’s growing energy demand, Aramco said in a statement.

It will be capable of transporting up to 350,000 barrels of crude oil per day.

The AB-4 pipeline, which is 30 inches in diameter and 112 kilometers long, begins at Saudi Aramco’s Abqaiq Plants Facility and terminates at the BAPCO Refinery in Bahrain.

It consists of three segments: a 42-km onshore Saudi segment, a 28-km Bahrain onshore segment and a 42-km offshore segment.

“The operation of AB-4 pipeline is another chapter in the special relationship between Saudi Aramco and BAPCO in several aspects, including the energy sector that has flourished for more than 73 years and beyond,” said Acting Executive Head of Pipelines Distribution and Terminals at Saudi Aramco Abdullah Mansour.

The new pipeline has been equipped with the latest technologies to ensure safety, environmental protection and hydrocarbon supply reliability in the coming decades.

The existing 73-year-old pipeline system, which has been supplying BAPCO with crude oil since 1945, will retire safely.

The work on the project will continue over the coming weeks to stabilize the flow of crude oil and activities related to the trial operation of this huge project.

Saudi Aramco and BAPCO will transfer the full supply of crude oil to the new pipeline in the coming months and the new line will replace the old one gradually and according to a specific timetable.



Oil Steady as Investors Shift Focus to Demand Signals

FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
TT
20

Oil Steady as Investors Shift Focus to Demand Signals

FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)

Oil prices edged higher on Thursday as investors remained cautious about the Iran-Israel ceasefire and shifted their attention to market fundamentals after a stockdraw in the United States.

Brent crude futures rose 34 cents, or 0.5%, to $68.02 a barrel by 1055 GMT US West Texas Intermediate crude gained 35 cents, or 0.5%, to $65.27 a barrel.

Both benchmarks climbed nearly 1% on Wednesday, recovering from losses earlier in the week after data showed resilient. US demand. Brent futures are trading below their close of $69.36 on June 12, the day before Israel started air strikes on Iran, Reuters reported.

Investors are shifting their focus to macroeconomics and oil balances, while monitoring the Israel-Iran truce, said PVM analyst Tamas Varga.

UBS analyst Giovanni Staunovo said oil prices had tracked equity markets so far on Thursday, while ANZ analysts said the US driving season had started slowly but was now stoking demand.

US crude oil and fuel inventories fell in the week to June 20 as refining activity and demand rose, the Energy Information Administration said on Wednesday.

Crude inventories fell by 5.8 million barrels, the EIA said, exceeding analysts' expectations in a Reuters poll for a 797,000-barrel draw.

Gasoline stocks unexpectedly fell by 2.1 million barrels, compared with forecasts for a 381,000-barrel build as gasoline supplied, a proxy for demand, rose to its highest level since December 2021.

On Saturday, Igor Sechin, the head of Russia's largest oil producer Rosneft, said OPEC+, which groups the Organization of the Petroleum Exporting Countries and allies including Russia, could bring forward its output hikes by around a year from an initial plan.

Meanwhile, US President Donald Trump hailed the swift end to war between Iran and Israel and said Washington would likely seek a commitment from Tehran to end its nuclear ambitions at talks with Iranian officials next week.

Trump also said on Wednesday that the US was maintaining maximum pressure on Iran - including restrictions on sales of Iranian oil - but signalled a potential easing in enforcement to help the country rebuild.