ADNOC Gas adjusts output as Hormuz shipping disruptions hit export flows

Dubai: ADNOC Gas said it has made temporary operational adjustments to liquefied natural gas (LNG) production and export-traded liquids in response to ongoing shipping disruptions in the Strait of Hormuz, highlighting the growing impact of regional tensions on energy flows.

The company said it is working with customers and partners on a shipment-by-shipment basis to meet contractual commitments, as constraints in one of the world’s most critical oil and gas transit routes affect export logistics.

The Strait of Hormuz, a key chokepoint for global energy trade, handles a significant share of seaborne oil and gas shipments, making any disruption a risk to supply chains and market stability.

Shipping constraints

ADNOC Gas said the changes to LNG and liquid exports are temporary and linked directly to the disruption in maritime traffic through Hormuz, rather than operational issues at its facilities.

“Operations are continuing safely across ADNOC Gas plc’s asset base,” the company said, adding that inspections following debris falling near certain facilities confirmed no injuries and no impact on core processing integrity.

The company did not quantify the scale of production adjustments, but said it is prioritising flexibility in fulfilling cargo commitments under evolving conditions.

Cargo-by-cargo approach

ADNOC Gas said it is coordinating closely with counterparties to manage deliveries, adopting a transaction-by-transaction approach to mitigate the impact of shipping delays and routing challenges.

The strategy reflects tighter logistics conditions in the region, where vessel movements and insurance considerations have become more complex amid heightened risk.

Energy producers in the Gulf often rely on Hormuz as the primary export route, limiting immediate alternatives when disruptions occur.

Core operations steady

The company said its processing facilities remain fully operational, with no damage to critical infrastructure despite reports of debris near certain sites.

Safety remains the priority, with ADNOC Gas stating it continues to focus on protecting staff, contractors and partners while maintaining service to customers.

The update suggests that current constraints are logistical rather than technical, with output adjustments aimed at aligning production with export capacity.

'Evolving situation'

ADNOC Gas said its balance sheet strength and capital discipline support its ability to navigate the disruption, while maintaining its commitment to shareholder value.

The company added that its assessment reflects current conditions and may be revised as the situation evolves, with further updates expected if material developments arise.

The developments underscore the sensitivity of global energy markets to disruptions in Hormuz, where even limited interruptions can ripple through supply chains and pricing dynamics.