{
  "id": 3037665,
  "title": "TotalEnergies profitably moving heavily discounted oil through Strait of Hormuz: CEO",
  "url": "https://urgent.news/2026/08/23/totalenergies-profitably-moving-heavily-discounted-oil-through-strait",
  "topic": "business",
  "section": "Business",
  "published": "2026-08-23T21:00:00.000Z",
  "source": {
    "name": "Gulf Times Business",
    "slug": "gulf-times-business",
    "url": "https://www.gulf-times.com/article/731753/business/totalenergies-profitably-moving-heavily-discounted-oil-through-strait-of-hormuz-ceo"
  },
  "original_language": "en",
  "account": "TotalEnergies CEO Patrick Pouyanne revealed on Monday that the company is successfully transporting oil through the Strait of Hormuz despite higher transport costs. This is primarily due to significant discounts offered by oil producers. Pouyanne emphasized that TotalEnergies is now likely the largest trader of Iraqi oil. He noted that crude oil is quietly moving through the strait, not publicly disclosed, following the US-Iran conflict and the subsequent threats of bombing and mines. The CEO called for investment in alternative routes for oil to exit the Middle East, but stated that the current route remains profitable for those who can find ship owners willing to navigate the strait.\n\nPouyanne explained that crude oil is sold at $50 to $60 per barrel, not at the Brent price, as producers are eager to push their oil into the market. He highlighted that it costs approximately $20 million to move a very large crude carrier (VLCC) through the Hormuz Strait and return, which translates to an extra $10 per barrel for the journey. However, this is not the case for refined oil products due to their smaller ship capacities, resulting in an unsustainable $50 per barrel surcharge for transport. This disparity is why there is a lack of oil products moving out of Hormuz, leading to a bearish crude oil market and a very bullish market for oil products, a situation Pouyanne found peculiar.\n\nDespite the current challenges, TotalEnergies plans to invest in alternative routes. The company aims to partner with the pipeline project from Baghdad to Syria and also intends to double the capacity of the Abu Dhabi Crude Oil Pipeline, also known as the Habshan-Fujairah pipeline. This pipeline, which can carry up to 1.8 million barrels per day, has been vital for the UAE's efforts to maximize exports from the Gulf of Oman coast, just outside Hormuz. The UAE plans to double this export capacity by next year.",
  "summary": "French oil major TotalEnergies is profitably moving oil through the Strait of Hormuz, with higher transport costs more than offset by steep discounts from crude producers, its CEO said at a Norwegian ...",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "The Economic Times",
        "title": "Hormuz keeps oil moving, but for how long?",
        "url": "https://urgent.news/2026/08/22/hormuz-keeps-oil-moving-but-for-how-long",
        "published": "2026-08-22T04:25:18.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}