Abu Dhabi National Oil Company Halts Production

Recently, the Grand Ceremony for the Comprehensive Construction Launch of the Dalu Coal-to-Olefins Upgrading Demonstration Project was solemnly held, marking the project’s official entry into a new phase of full-scale construction. The project’s construction scale includes: a 2.26-million-ton-per-year coal-to-methanol plant (comprising coal gasification, purification, methanol synthesis, and sulfur recovery units); a 900,000-ton-per-year polyolefins plant; a 2.26-million-ton-per-year methanol-to-olefins (MTO) unit (including olefins cracking conversion, OCC); and polyolefins units comprising a 250,000-ton-per-year polypropylene unit (loop reactor), a 200,000-ton-per-year polypropylene unit (gas-phase), a 350,000-ton-per-year polyethylene unit, and a 100,000-ton-per-year EVA/LDPE unit. Additionally, the project encompasses supporting utility facilities, including an air separation unit and an IGCC (integrated gasification combined cycle) thermal power station, as well as other associated public utility and auxiliary production facilities.

The UAE's state-owned oil giant, Abu Dhabi National Oil Company, has been forced to implement widespread production shutdowns, causing the country's daily crude oil output to drop by more than half.

In the pipeline industry, high standards and professionalism have become an industry trend, especially in major engineering projects where the requirements for material safety, durability, and environmental adaptability are constantly increasing. As a large domestic building materials and home decor industry group, Lubu has continuously promoted its product system toward high-end and professional development through its extensive industrial experience and continuous technological innovation. In 2025, Lubu made significant progress in the shipbuilding and marine engineering fields, obtaining the Factory Approval Certificate issued by the China Classification Society (CCS). This certification covers Lubu's shipboard piping products made of polyvinyl chloride (PVC-U), polyethylene (PE), and polypropylene (PPR), laying the foundation for its expansion into related businesses.

Recently, the Yan’an 10-million-ton-per-year integrated refining and chemical upgrading project of Yanchang Petroleum, with a total investment of RMB 80.29 billion, has been formally submitted for approval, with construction scheduled to commence within 2026. This project has been designated as Shaanxi Province’s “No. 1 Project” in the energy and chemical sector for the 14th Five-Year Plan period and is also one of the largest energy and chemical projects ever undertaken in Northern Shaanxi in recent years.

In its latest monthly report, the International Energy Agency (IEA) stated that the global oil market is facing the most severe supply disruption in history due to ongoing conflicts in the Middle East. Shipping through the Strait of Hormuz has nearly halted, and oil storage facilities are nearing capacity, forcing Gulf countries to cut oil production by at least 10 million barrels per day; over 3 million barrels per day of refining capacity have already been shut down.