The Abu Dhabi National Oil Company (ADNOC) board has increased its budget allocation for decarbonization initiatives to $23 billion. This decision was made during the annual meeting presided over by UAE President HH Sheikh Mohamed bin Zayed Al Nahyan.
The increased budget will focus on domestic and international carbon management platform investments. ADNOC aims to play a significant role in the UAE’s economic and industrial growth, with plans to inject $48.5 billion back into the UAE economy over the next five years. The company generated $11.2 billion through its In-Country Value (ICV) program in 2023.
The board highlighted ADNOC’s commitment to its Net Zero by 2045 target and directed the company to deploy advanced technologies to accelerate decarbonization, renewables growth, and lower-carbon solutions.
ADNOC has created 6,500 jobs for UAE nationals in the private sector in 2023, bringing the total value driven back into the UAE economy to $51 billion, with 11,500 UAE nationals employed in the private sector since the program’s launch in 2018.
Renewable energy in focus
The company aims to triple its renewable energy capacity through its shareholding in Masdar, the company said on Monday. ADNOC has also entered into a sale and purchase agreement to acquire OCI’s majority shareholding in Fertiglobe plc, supporting its chemicals strategy and plans for low-carbon ammonia.
In 2023, ADNOC completed two IPOs, invested in a major carbon capture project, and announced the final investment decision for the Hail and Ghasha Offshore Development, aiming to operate with net zero emissions.
ADNOC also disclosed its 2022 emissions performance, positioning itself in the top tier of lowest upstream carbon intensity oil and gas producers globally. The company aims to double its carbon capture and storage (CCS) capacity target to 10 million tonnes annually by 2030.
“By prioritizing transformational growth, partnerships, and international opportunities, we are well positioned to grow our operations and unlock additional value as we strive to make today’s energy cleaner, invest in the clean energies of tomorrow and continue to provide secure and sustainable energy to meet growing global demand,” said HE Dr Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO. “Delivering on this mandate reinforces our ambitious net zero pathway and our critical role as the catalyst for the UAE’s economic and industrial growth.”
