The Habshan-Fujairah pipeline, designed to export Abu Dhabi's oil to the world bypassing the Strait of Hormuz, will start operations at the end of this month, local news agency WAM reported Tuesday.

CEO of Abu Dhabi Gas Industries Ltd (GASCO) Mohamed Sahoo Al- Suwaidi was quoted as saying at a media conference in Abu Dhabi that "The construction of the pipeline has been completed while the construction of some of its facilities is being finalized."

Al-Suwaidi added that the government of the emirate of Abu Dhabi, also the capital of the United Arab Emirates (UAE), plans to build a LNG (liquefied natural gas) bunker station in the emirate of Fujairah "to meet 15 percent of the UAE's increasing demand on gas as a result of industrial expansion."

The Iranian parliament said Tuesday it was discussing a law that would require the Straits of Hormuz be closed to tankers of Western nations which imposed an oil embargo against Iran, Iranian Fars news agency reported.

The EU's embargo of Iran's oil came into effect on July 1. The news triggered oil prices to rally by 4.5 percent Tuesday, trading around a one-month high at 87.5 U.S. dollars (U.S. Crude).