Page 4 - MEOG Week 03 2023

MEOG COMMENTARY MEOG

ADNOC launches gas unit

ahead of planned listing

ADNOC has combined its gas processing and
LNG divisions to form a new global gas leader

UAE ABU Dhabi National Oil Co. (ADNOC) has expansion plans, including in international mar-
merged its gas processing and LNG businesses kets,” noting that the company would “continue
into a consolidated gas division with a plan to to be a reliable provider of LNG, LPG and asso-
WHAT: increase production to meet domestic demand. ciated products.”
ADNOC Gas has a gas The parent firm intends to sell a minority ADNOC’s press release noted the appoint-
processing capacity of stake in the new business, just as it has done with ments of Ahmed Mohamed Alebri as acting
10 billion cubic feet per its drilling and distribution arms. CEO, Mohamed Al Hashemi as chief operat-
day, making it one of The launch of the company comes as Gulf ing officer and Peter van Driel as chief financial
the world’s largest gas NOCs are increasingly turning to gas as a means officer.
processors. of reducing the cost of powering their economies This cited the extensive experience of the
while raising the value of revenues they are able former two execs with ADNOC Gas Processing,
WHY: to generate from crude output. while van Driel is a 28-year veteran of Shell.
Gas is core to ADNOC’s In reference to these appointments, Al Jaber
efforts to increase Gas launch said: “Led by a seasoned and highly-qualified
profitability while The newly formed ADNOC Gas is one of the senior management team, with unrivalled expe-
decarbonising its world’s largest gas processors with a capacity of rience in the sector, this new flagship and world-
operations. 10bn cubic feet (283mn cubic metres) per day, scale company will strengthen our position as a
eight processing facilities as well as a pipeline responsible and sustainable energy leader in an
WHAT NEXT: network spanning more than 3,250 km. evolving global energy landscape.”
ADNOC intends to sell a HE Dr. Sultan Ahmed Al Jaber, the UAE’s ADNOC expects the new company to
minority shareholding Minister of Industry and Advanced Technology “unlock significant financial and operational
in the new company via and ADNOC managing director and CEO, said: opportunities” and believes it will be “more
IPO on the local stock “Natural gas will be a critical fuel in the energy agile, better able to respond to changing market
exchange. transition and ADNOC Gas, through its world- demands, and well-positioned to take advantage
scale operations and significant growth and of strategic opportunities for future growth”.
expansion plans, will be well-positioned to meet The Emirati NOC is working to raise its oil
both local and international gas demand.” production capacity of 4.2mn barrels per day
He added that “ADNOC Gas will play a crit- or so to 5mn bpd by 2025, and up to 6mn bpd
ical role in delivering ADNOC’s broader LNG by the end of the decade, the date by which it

P4 www. NEWSBASE .com Week 03 18•January•2023