Page 4 - DMEA Week 46 2021

DMEA COMMENTARY DMEA

ADNOC seals

downstream

deals at ADIPEC

ADNOC’s customary annual flurry of deals has not disappointed, with major
contracts signed throughout the hydrocarbon value chain, particularly downstream.

MIDDLE EAST ABU Dhabi National Oil Co. (ADNOC) this Borouge joint venture’s fourth facility at Ruwais.
week used the platform of the emirate’s ADIPEC Borouge 4 is expected to become operational by
conference to announce a raft of deals through- the end of 2025 and feedstock will be supplied by
WHAT: out the energy value chain. While the company ADNOC, while Borouge polyolefins (PO) will
The company announced customarily makes large announcements dur- be used as feedstock for ADNOC’s world-scale
several deals at this ing the annual event, the scale of this year’s deals, TA’ZIZ chemicals complex within the company’s
week’s ADIPEC, with the combined with the conference’s timing just a Ruwais Derivatives Park.
downstream comprising few days after the closure of COP26 in Glasgow, The Emirati firm said that the new facility will
most of the action this turned heads. use Borealis’ proprietary Borstar technology to
year. ADNOC signed noteworthy initiatives to produce a portfolio of products that can be used
further build out Abu Dhabi’s polyolefins (PO) in energy, infrastructure, advanced packaging
WHY: and ammonia capabilities at the Ruwais down- and agriculture.
ADNOC is building stream hub and moved into renewables along- The agreement was signed between UAE
out its capabilities in side TAQA, with which it will develop 30 GW Minister of Industry and Advanced Technology
petrochemicals, hydrogen of generation capacity while also agreeing pro- and ADNOC managing director and CEO Sul-
and renewables as it curement deals for $6bn of oilfield equipment in tan Al Jaber and Borealis CEO Thomas Gangl.
looks to take the energy the upstream. Al Jaber said: “ADNOC and Borealis’ sig-
transition lead among Meanwhile, Abu Dhabi’s Minister of Energy nificant investment in the fourth expansion of
Gulf NOCs. and Infrastructure HE Suhail Al Mazrouei said Borouge ensures the long-term and sustainable
that the total UAE refining capacity has increased supply of core materials to critical sectors vital to
WHAT NEXT: to 1.2mn barrels per day, with crude oil produc- both the UAE and global economy.”
Further hydrogen-related tion capacity now having reached 4.2mn bpd. He added: “This expansion will see Borouge
plans and deals are become the world’s largest single-site polyole-
likely to be announced in Borouge build-out fin complex, as it continues to play an integral
the near term ahead of ADNOC has signed a $6.2bn investment role in the development of TA’ZIZ, enhancing
hosting COP28 in 2023. agreement with Austria-based Borealis for the local industrial supply chains and boosting

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