Shaheen is the first private UAE company to partner with TA’ZIZ as a standalone investor

Agreement unlocks new opportunities for Shaheen and UAE manufacturers, enabling private sector growth and capability development

Strategic partnership to produce new chemicals in the UAE, including Chlor-Alkali, Ethylene Dichloride and Polyvinyl Chloride at the TA’ZIZ Industrial Chemicals Zone

Agreement is aligned with UAE industrial development strategy, catalysing the UAE’s industrial base and enabling UAE companies to ‘Make it in the Emirates’ 

Abu Dhabi, UAE – May 12 2022:  Abu Dhabi Chemicals Derivatives Company RSC Ltd (“TA’ZIZ”) announced today that Shaheen Chem Holdings Investment LLC (Shaheen), will join the proposed TA’ZIZ and Reliance Industries Limited TA’ZIZ EDC & PVC joint venture, that will construct and operate a world-scale Chlor-Alkali, Ethylene Dichloride (EDC) and Polyvinyl Chloride (PVC) facility, at the TA’ZIZ Industrial Chemicals Zone, in Ruwais. 

The TA’ZIZ Industrial Chemicals Zone is a joint venture between ADNOC and ADQ. With an investment of more than $2 billion (AED7.34 billion), the project will supply local manufacturers, replacing chemicals currently imported, while also exporting to meet growing demand for these chemicals globally. TA’ZIZ will provide new opportunities for local manufacturers, supporting growth of their knowledge and capabilities, catalyzing local industrial development. 

Shaheen brings extensive knowledge of the local market and joins the project with a focus on utilizing production for use in local supply chains. The agreement marks the first direct investment by a privately-owned United Arab Emirates (UAE) company in the TA’ZIZ Industrial Chemicals Zone. It also follows the investment agreements between TA’ZIZ and eight UAE-based investors in December 2021, which marked the first domestic Public Private Partnership (PPP) in Abu Dhabi’s downstream and petrochemicals sector.

Khaleefa Yousef Al Mheiri, TA’ZIZ Acting Chief Executive Officer, said: “We are delighted to welcome Shaheen as a strategic partner in TA’ZIZ. This strategic agreement further consolidates TA’ZIZ’s position as the sought-after partner for local and international investment in the UAE’s chemicals industry. The partnership supports our national strategy to drive the growth and diversification of the country’s industrial base, strengthen domestic supply chains and enable the private sector to “Make it in the Emirates”, in line with the leadership’s wise directives.”

The chemicals to be produced by the TA’ZIZ EDC and PVC project have a wide range of industrial applications and will create opportunities for export, as well as providing local industry with a source of critical raw materials manufactured in the UAE for the first time.

Walid Azhari, Managing Director of Shaheen, said: “We are honored to partner with TA’ZIZ and Reliance in this world class industrial plant which will include the largest Chlor Alkali plant in the world. We are looking forward to working with our partners during the development, construction and operation stages of the project. This project will be the cornerstone for many exciting downstream opportunities which will create a whole new industrial cluster in the UAE, in line with the Abu Dhabi Economic Vision 2030”.

Investment in the production of chemicals is a priority for the UAE’s industrial growth strategy, championed by the Ministry of Industry and Advanced Technology, which aims to raise the UAE’s industrial sector’s contribution of national GDP to AED300 billion by 2031. Chemicals are an attractive sector given projected demand growth globally and the opportunity local production creates to grow the UAE’s industrial base.

Chlor-Alkali enables the production of caustic soda, crucial to the production of aluminum, and EDC is used in the production of PVC for a wide range of industrial and consumer products including pipes, windows, cables, films and flooring.

TA’ZIZ comprises three zones, the first of which is an Industrial Chemicals Zone that will host chemicals production, with seven world-scale projects already in the design phase. The second is a Light Industrial Zone, which will be home to downstream conversion industries that will convert the outputs of the Chemicals Zone into consumable products. The third is an Industrial Services Zone that will house a variety of companies providing the services required by the TA’ZIZ industrial zones and the wider Ruwais Industrial Complex. 

All projects in the TA’ZIZ Industrial Chemicals Zone are subject to customary regulatory approvals.

His Highness commended ADNOC’s expanded approach to strategic partnerships, which have supported new oil discoveries 
in Bu Hasa field, Onshore Block 3, and Al Dhafra

His Highness gave directives to explore new clean hydrogen partnerships to help accelerate the energy transition 

His Highness praised ADNOC’s contribution to strengthening UAE capital markets through plans to float 10% of Borouge on ADX 

Abu Dhabi, UAE – 19 May, 2022: His Highness Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, member of the Abu Dhabi Executive Council and Chairman of the Abu Dhabi Executive Office, has chaired a meeting of the Executive Committee of the Abu Dhabi National Oil Company (ADNOC) Board of Directors.

During the meeting, held at ADNOC Headquarters in Abu Dhabi, His Highness reviewed ADNOC’s performance and strategic targets and commended the company’s expanded approach to strategic partnerships, which have helped lead to new discoveries of oil, including a new find at Bu Hasa, Abu Dhabi’s biggest onshore field with a crude oil production capacity of 650,000 barrels per day (mbpd).

The 500 million barrels of oil discovered from an exploration well in the Bu Hasa field has unlocked a new formation within the field, offering substantial additional premium-grade Murban oil resources. Bu Hasa is part of the ADNOC Onshore Concession and is operated by ADNOC Onshore.

In Abu Dhabi’s Onshore Block 3, operated by Occidental, around 100 million barrels of oil in place were discovered, marking the second oil find in this concession. Occidental was awarded the exploration rights for Onshore Block 3 in early 2019. Around 50 million barrels of light and sweet Murban-quality crude was also discovered in the Al Dhafra Petroleum Concession, operated by Al Dhafra Petroleum, a joint venture between ADNOC, the Korea National Oil Company (KNOC) and GS Energy.

His Highness commended ADNOC for its collaborative approach and noted that the company and its partners would ensure that the UAE remains a reliable supplier of some of the least carbon-intensive oil in the world for decades to come.

In line with ADNOC’s successful value creation strategy, His Highness praised ADNOC’s strengthening of UAE capital markets through its intention to float 10 per cent of Borouge, ADNOC’s world-leading petrochemicals company on the Abu Dhabi Securities Exchange (ADX), as the company continues to grow and diversify the UAE economy.

Looking to the future, His Highness also gave directives to explore new clean energy partnerships, including clean hydrogen, as part of the company’s ambitious growth plans in the field, and to help support the energy transition. 

Under the guidance of His Highness, the Executive Committee is providing strategic direction for ADNOC as it delivers on its 2030 strategy and enables economic growth in support of the UAE’s ‘Principles of the 50’. Over the course of the year, the Executive Committee meets to review ADNOC’s progress against its strategic and financial targets as well as its operational performance.

Other members that attended the meeting include H.E. Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO; H.E. Suhail Mohamed Al Mazrouei, Minister of Energy and Infrastructure; H.E. Ahmed Ali Al Sayegh, Minister of State; H.E. Khaldoon Khalifa Al Mubarak, Managing Director and Group CEO of Mubadala Investment Company; and H.E. Jassem Mohamed Bu Ataba Al Zaabi, Chairman of the Abu Dhabi Department of Finance. 

ADNOC and bp move to design phase of low-carbon hydrogen H2Teesside project in the UK, ADNOC’s first UK investment, as well as feasibility study for a low-carbon hydrogen project in the UAE

Masdar and bp to explore potential collaboration on HyGreen Teesside, bp’s green hydrogen project powered by offshore wind in the UK’s Teesside industrial cluster

ADNOC-bp-Masdar partnership expanded to explore production of Sustainable Aviation Fuels from municipal waste and green hydrogen in Abu Dhabi, leveraging the capabilities of the UAE’s Tadweer and Etihad Airways

Strengthened collaboration builds upon bp’s decades of commercial activity in the UAE’s domestic energy sector and underscores the partners’ shared commitment to grow their new energy operations and maximize opportunities of the energy transition

Abu Dhabi, UAE – May 24, 2022: His Highness Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, member of the Abu Dhabi Executive Council, Chairman of the Abu Dhabi Executive Office, and Chairman of the Executive Committee of the Board of Directors of Abu Dhabi National Oil Company (ADNOC), has witnessed the signing of a partnership between Abu Dhabi National Oil Company (ADNOC), bp and Masdar to progress their strategic new energy partnership through the development of clean hydrogen and technology hubs, maximizing opportunities of the energy transition.

In the UK, ADNOC and bp advanced to the design phase (pre-FEED) of the H2Teesside low-carbon hydrogen project, while Masdar and bp signed a Memorandum of Understanding (MOU) to explore potential collaboration on the HyGreen Teesside green hydrogen project in the UK’s Teesside industrial cluster which will be powered by offshore wind.

In the UAE, ADNOC and bp moved to conduct a joint feasibility study for a low-carbon hydrogen project in Abu Dhabi. ADNOC, bp and Masdar also agreed to explore production of Sustainable Aviation Fuels in the UAE using solar-to-green hydrogen and municipal waste gasification, leveraging the capabilities of the UAE’s Tadweer (Abu Dhabi Waste Management Centre) and Etihad Airways.

The companies’ successful progress in developing their new energy partnership builds upon the strategic framework agreements signed during the September 2021 visit to the UK by His Highness Sheikh Mohammed bin Zayed Al Nahyan, President of the United Arab Emirates (UAE).

Commenting on the agreements, H.E. Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, ADNOC Managing Director and Group CEO, and Masdar Chairman, said: “ADNOC and Masdar’s deepened partnership with bp is a testament to the UAE and UK’s longstanding track record of bilateral partnership in sustainability as well as the UAE’s intent to play a leading role in the fast-growing clean hydrogen economy both domestically and internationally. To that end, we welcome the opportunity to collaborate with bp in both the UAE and UK, laying the groundwork for deeper commercial partnership in the area of new energies and clean technologies. In the UK, our role in Teesside will represent ADNOC’s first investment into the UK and help to accelerate innovation in decarbonization of energy in industrial sectors. Similarly, the partners’ collaboration in Abu Dhabi is expected to further position the UAE as a leader in low-carbon energies and technology-driven industrial growth.”

Bernard Looney, bp’s Chief Executive Officer, said: “ADNOC and Masdar’s involvement reinforce the world-leading role that Teesside and the UK more widely can play in leading the development of low carbon hydrogen for low carbon economies. From supply chains to skills, Teesside and bp are ready to deliver. Our partnership with ADNOC and Masdar stretches internationally and will be able to help decarbonize some of the most hard-to-abate sectors in the world – like industrial manufacturing, power and aviation – in a sustainable way. I want to thank H.E. Dr Sultan for his continued commitment to the UAE’s energy transition. Partnerships like this reach beyond borders to provide the new energy solutions the world needs.”

His Excellency Falah Al Ahbabi, Chairman of Abu Dhabi Waste Management Center, Tadweer, said: “The Abu Dhabi Waste Management Center is keen to develop strategic partnerships which align with our ongoing efforts to divert waste from landfills and leverage commercially viable technology solutions to overcome the challenges posed by the treatment of vast volumes of waste. This agreement is a testament to our mutual commitments to sustainability and will boost Abu Dhabi’s and the UAE’s position as a world leader in the realm of green energy.”

Masdar CEO, Mohamed Jameel Al Ramahi, said: “Today’s announcements will strengthen the strategic partnership between Masdar, ADNOC and bp and continue to drive clean energy innovation for both the UAE and the UK. Masdar has been a long-standing investor in the UK’s renewable energy sector, and we will leverage our expertise in offshore wind and sustainable aviation fuels to support both nations’ energy transition while solidifying the UAE’s leadership position in the emerging green hydrogen economy.” Tony Douglas, Group Chief Executive Officer, Etihad Aviation Group, said: “Although aviation is considered one of the harder sectors to decarbonize, meaningful progress can be made if a basket of measures – including both SAF and LCAF – are pursued. We believe that a balanced approach is required, exploring future opportunities for SAF while improving the carbon intensity of hydrocarbon-based aviation fuels. This partnership between ADNOC, bp, Tadweer and Masdar supports Etihad’s SAF and LCAF strategy as key components to reduce carbon emissions until alternative fuels and technologies become fully viable.”

ADNOC and bp’s UK project, H2Teesside, will be co-developed within Teesside, a part of the East Coast Cluster on the Eastern coast of the UK, leveraging access to North Sea gas and bp’s existing CCUS capabilities. End-users of clean hydrogen produced at the planned project are expected to include neighboring large-scale industrial offtakers, such as chemical processors, fertilizer manufacturers and heat and power generators. Similar use cases as well as mobility demand in Teesside will be explored by bp and Masdar in the area of green hydrogen, setting the stage for robust end-to-end green hydrogen value chains.

In the UAE, ADNOC and bp expect to capitalize on Abu Dhabi’s existing industrial infrastructure, significant gas resources, and proximity to future clean hydrogen demand centers to potentially develop a world-scale low-carbon hydrogen facility. In addition, ADNOC, bp and Masdar have welcomed Abu Dhabi’s Tadweer and Etihad Airways to the UAE-UK new energy partnership, further strengthening the UAE’s value proposition within the hydrogen economy. Under the terms of the new agreement, ADNOC, bp and Masdar will leverage Tadweer’s extensive operational experience in circular economy innovations to explore conversion of municipal waste into Sustainable Aviation Fuels for Etihad Airways via gasification powered by solar-to-green hydrogen.

Building on the agreements announced in September 2021, ADNOC, bp and Masdar also deepened their collaboration on critical clean energy technologies, including Smart Decision Centers to support advanced performance management, best-in-class Methane Emissions Detection Platforms and Carbon Capture, Utilization and Storage (CCUS) technology at ADNOC’s Bab field.

The UAE and UK’s expanded new energy partnership closely aligns with the UK’s recently announced commitment to achieve 10GW of low-carbon hydrogen by 2030, and the UAE’s Nationally Determined Contribution of reducing greenhouse gas emissions by 23.5% compared to business as usual for the year 2030. ADNOC, bp and Madsdar welcome the opportunity to contribute to these bold national ambitions and will seek to increase knowledge sharing on new energy policy between the public and private sectors. Employees from the partners will be initially seconded in Abu Dhabi and the UK, while, longer term, the companies hope to increase capabilities to co-develop low and zero-carbon innovations and technology.

Acquisition is part of company plans to overhaul LNG fleet & supports ADNOC’s current LNG business and future growth plans 

Announcement follows recent news that ADNOC L&S will acquire two new-build LNG vessels, bringing the total number of new-build LNG vessels to 5 

State-of-the-art vessels will feature cutting edge technology that will drive efficiency and reduce emissions, with delivery scheduled for 2025 and 2026

Abu Dhabi, UAE – June 2, 2022: ADNOC Logistics & Services (ADNOC L&S), the shipping and maritime logistics arm of the Abu Dhabi National Oil Company (ADNOC) and the region’s largest shipping and logistics company, announced today its decision to purchase three additional liqueified natural gas (LNG) vessels. ADNOC L&S is the region’s largest shipping and integrated logistics company and the state-of-the-art new-build vessels will bolster the company’s capacity as it responds to the growing global demand for LNG.

The new-build LNG vessels, each with a capacity of 175,000m3, are significantly larger than the current ADNOC L&S fleet which have a capacity of 137,000m3 each. ADNOC L&S previously announced in April 2022 that it will acquire two LNG vessels which brings the total number of new-build LNG vessels ordered to five, with the vessels scheduled for delivery in 2025 and 2026. 

Captain Abdulkareem Al Masabi, CEO of ADNOC L&S, said: “ADNOC is an active player in the evolving global energy landscape, where natural gas and LNG are playing an increasingly important role. ADNOC L&S’ strategic acquistion of five state-of-the-art LNG vessels will support ADNOC’s existing LNG business as well as its significant growth plans.

“Several dynamics are stengthening the LNG market which makes the timing of these acquisitions particularly significant. This includes a renewed emphasis on energy access and security, as well as new environmental regulations that favor more fuel-efficient vessels, such as the new-builds that we are purchasing.” 

All five new-build LNG vessels will be built at the Jiangnan Shipyard in China. Jiangnan Shipyard was also previously commisioned by ADNOC L&S in 2020 to build five Very Large Gas Carriers (VLGC) for AW Shipping, ADNOC L&S’ Joint Venture company with China’s Wanhua Chemical Group.

Mr. Lin Ou, Chairman of Jiangnan Shipyard, said, “We would like to thank ADNOC L&S for its continued collaboration with Jiangnan. We are committed to the promotion of new efficient, energy-saving and environmentally-conscious vessels and proud to be able to support ADNOC L&S’ growth strategy for the future.”

The acquisition of larger, more energy efficient vessels will allow ADNOC L&S to meet growing customer demand while improving the environmental footprint of its fleet. The new vessels’ engine technology will reduce emissions (CO2, NOX and SOX) and in combination with the innovative Air Lubrication System, further reduce fuel consumption by at least 10%. 

ADNOC L&S has the largest and most diversified fleet in the Middle East, with more than 200 vessels transporting crude oil, refined products, dry bulk, containerized cargo, liqueified petroleum gas (LPG), and LNG to global markets. When combined with its 1.5 million square meter integrated logistics base in Mussafah and its comprehensive end-to-end logistics capabilities, ADNOC L&S is the region’s leading provider for integrated maritime logistics solutions.  

Over the past 24 months, ADNOC L&S has acquired 16 deep sea vessels, including eight Very Large Crude Carriers (VLCC) in 2021, that added 16 million barrels of capacity. Furthermore, the company acquired six product tankers, which expanded the product tanker fleet capacity to over 1 million metric tonnes as well as five VLGC for AW Shipping.