ABU DHABI - The Oil Market.
Oil consumption in Abu Dhabi averages 110,000-120,000 b/d, up from
80,000-90,000 b/d in early 1999, compared to about 200,000 b/d for the
whole of the UAE. Abu Dhabi supplies the other UAE emirates with about
50,000-70,000 b/d. The other emirates buy the remainder of their oil
products needs from Fujairah's refinery, from a small plant in
Sharjah, from Bahrain and other Gulf sources.
ADNOC-FOD acts as a monopoly in Abu Dhabi and, together with
foreign oil companies, used to dominate the rest of the UAE market. The
dominant role of the foreign oil companies in the other emirates ended
in 1980 when the federal entity, Emirates General Petroleum Corp.
(EGPC), began distributing oil products. Based in Dubai, EGPC operated
service stations in all emirates but Abu Dhabi. To compete with
ADNOC-FOD, EGPC in 1992 started buying unleaded gasoline from the
international spot market. In 1988 a third distribution company entered
the market: Dubai state-owned Emirates Petroleum Products Co. (Eppco),
which opened service stations in Dubai and later expanded to other
emirates including Fujairah. But the Abu Dhabi market was closed to
Eppco. Dubai's Emirates National Oil Co. (ENOC) has a condensate
refinery at Jebel Ali on stream since 1999 (see 2002 UAE survey in Vol.