The company has demonstrated responsibility through strategic focus on gas, renewables, and global collaborations, and is solidifying its commitment to sustainable and responsible energy production

Since the pivotal COP28 conference held in Dubai in 2023, Abu Dhabi National Oil Company (Adnoc) has been on a steadfast journey to position itself as a responsible energy producer. The company’s commitment to this cause has been underscored by the unwavering support of both its internal leadership and the country’s leadership.

Recently, Musabbeh Al Kaabi, Adnoc’s Executive Director for Low Carbon Solutions and International Growth, emphasised the company’s strategic focus on gas output. The company views natural gas as a transitional fuel towards renewable energy sources.

Adnoc’s international growth strategy now encompasses gas, LNG, petrochemicals, and renewables.

In a key meeting held in January, Dr Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, and Managing Director and Group CEO of Adnoc, highlighted the increased investment in landmark decarbonisation projects, technology, and lower-carbon solutions, boosting Adnoc’s position as a global energy transition leader.

Reflecting on the pivotal year ahead, Dr Al Jaber stated: '2024 is an important year for Adnoc as we further transform, decarbonise, and future-proof our business. We have been entrusted to prioritise transformational growth, accelerate decarbonisation, and drive further growth in renewables.'

Underlining the importance of technology and innovation, Dr Al Jaber stressed the application of artificial intelligence (AI) to enhance performance and efficiency across Adnoc’s operations.

Also in January, UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan in a meeting of Adnoc’s Board of Directors directed the company to grow its diversified portfolio and contribute to a just, orderly, and equitable global energy transition.

The board praised Adnoc for its role as a catalyst for economic and industrial growth, endorsing the company’s goal to drive $48.5 billion back into the UAE economy over the next five years.

Adnoc’s commitment to environmental responsibility was further solidified by strategic investments in carbon management.

The company announced a 10.1 per cent equity stake in Storegga, a UK-based company specialising in global carbon capture and storage (CCS) projects.

This move aligns with Adnoc’s ambitious target of achieving a carbon capture capacity of 10 million tonnes per annum by 2030.

In December 2023, Adnoc signed a significant LNG agreement with ENN LNG, marking a 15-year commitment to deliver at least 1 million metric tonnes per annum of liquefied natural gas.

The agreement, contingent upon a final investment decision on the Ruwais LNG project, aims to make Adnoc a reliable and responsible global energy provider.

Collaborating with Mitsubishi Heavy Industries, Adnoc signed a strategic collaboration agreement to explore opportunities in global low carbon ammonia and hydrogen markets. This partnership seeks to advance carbon-neutral solutions and contribute to the decarbonisation of hard-to-abate industries.

Adnoc’s commitment to innovation was exemplified in the Adnoc Decarbonisation Technology Challenge, where the company awarded a million-dollar piloting opportunity to Revterra, a Houston-based producer of novel batteries made from recycled steel. This initiative aims to accelerate Adnoc’s decarbonisation goals and support the global energy transition.

In December 2023, Adnoc achieved another milestone by commencing operations at G2COOL, the first district cooling project in the Gulf region to harness geothermal energy.

This project, located in Masdar City, further diversifies the UAE’s energy mix and supports Adnoc’s decarbonisation plan.

And in November last year, saw Adnoc opening ‘H2GO’, the region’s first high-speed green hydrogen pilot refueling station.

CARBON PLATFORM

In a groundbreaking move, Adnoc has joined forces with Santos, a leading energy company, to establish a global carbon management platform that aims to facilitate decarbonisation efforts across the Asia-Pacific region.

This collaboration signifies a strategic commitment to advancing carbon capture and storage (CCS) technologies, with a focus on developing a robust CO2 shipping and transportation infrastructure network.

Building on its existing carbon capture projects, such as the Al Reyadah facility, Adnoc continues to make significant strides towards achieving its ambitious goals.

The recent agreements with 30 companies for local manufacturing opportunities, valued at up to AED10 billion ($2.72 billion), underscore Adnoc’s commitment to decarbonising operations and stimulating industrial growth in the UAE.

These agreements align with the ‘Make it in the Emirates’ initiative, fostering a homegrown supply and value chain while contributing to economic diversification.

In another innovative move, Adnoc has partnered with EDGE Group to deploy UAE-made drones across its onshore and offshore operations.

The collaboration aims to minimise emissions, enhance environmental performance, and optimise operations through the use of advanced UAVs.

This initiative reflects Adnoc’s commitment to leveraging technology for sustainable practices and reducing its carbon footprint.

Adnoc’s commitment to net-zero emissions took a significant step forward with the final investment decision on the Hail and Ghasha Offshore Development project.

This groundbreaking project aims to operate with net zero carbon emissions, combining innovative decarbonisation technologies, carbon capture, and clean power sources.

The project reinforces Adnoc’s legacy as a responsible energy producer and contributes to UAE gas self-sufficiency and export expansion plans.

In a strategic move towards cleaner energy solutions, Adnoc awarded a critical equipment contract worth over $400 million to Baker Hughes for its low-carbon LNG project in Ruwais.

The Ruwais LNG plant will be the first in the Middle East and North Africa to run on clean power, showcasing Adnoc’s commitment to sustainability and innovation.

Further solidifying its position as a leader in carbon capture and utilisation, Adnoc, in collaboration with Occidental, is advancing a direct air capture project.

The joint preliminary engineering study for a megaton-scale DAC facility outside the United States demonstrates the companies’ commitment to scaling up carbon management technologies globally.

As part of Adnoc’s broader carbon management strategy, the company has announced a final investment decision on the Habshan carbon capture project, one of the largest in the Mena region.

The project aims to capture and store 1.5 million tonnes of CO2 per year, contributing significantly to Adnoc’s Net Zero by 2045 ambition and overall decarbonisation efforts.

CONCLUSION

Adnoc’s unwavering commitment to sustainability, technological innovation, and global collaboration positions the company as a trailblazer in the energy industry’s transition towards a more sustainable and responsible future.

As Adnoc continues to prioritise transformational growth, decarbonisation, and diversification, the company stands at the forefront of global efforts to achieve a sustainable and equitable energy future.

With visionary leadership and strategic initiatives, Adnoc is not only meeting the challenges of today but also driving the industry towards a cleaner and more sustainable tomorrow.

By Abdulaziz Khattak