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ADNOC and Aramco signed an deal on gas cooperation in 2018 (Photo: ADNOC)

ADNOC, Aramco seek financing

for gas expansion initiatives

MIDDLE EAST THE Persian Gulf region’s two top national oil Securities Exchange (ADX) in 2023.
companies (NOCs) are reported to be reaching BP and Japan’s Mitsui & Co. own shares in
out to source financing to support major natural ADNOC LNG, with Thailand’s PTT and Shell
and unconventional gas expansion efforts. holding shares in ADNOC Gas Processing –
Abu Dhabi National Oil Co. (ADNOC) of French super-major TotalEnergies has a share-
the UAE is said to have asked banks to pitch for holding in both businesses.
work in supporting the listing of a new consol-
idated gas division on the local stock exchange, Funding Jafurah
while Saudi Aramco is holding talks with finan- As ADNOC prepares to take its gas arm public,
cial institutions to take an equity stake in pro- Aramco is reporting to be looking for private
jects associated with the development of the financiers to support the $110bn Jafurah devel-
Kingdom’s Jafurah unconventional gas deposit. opment project.
Reuters quoted people involved in proceed- Speaking to Bloomberg, sources said that the
ings as saying that ADNOC had invited banks investors would likely fund infrastructure for
to pitch to join Goldman Sachs in a syndicate, midstream and downstream processing units at
while sources told Bloomberg that Bank of the field, noting that stakes could be offered in
America Corp. and First Abu Dhabi Bank have carbon capture and storage (CCS), pipelines and
been chosen as joint global coordinators on the hydrogen plants. Aramco is being advised on the
initial public offering (IPO). The latter report plans by investment bank Evercore.
said that ADNOC has invited banks to pitch for Aramco has raised nearly $60bn in recent
the role of bookrunner. years through its own IPO on the local Tadawul
In November, the Emirati firm announced stock exchange and by leasing shares in its oil
plans to combine its gas-processing and lique- and gas pipelines businesses.
fied natural gas (LNG) arms in a new business Announcing its second-quarter results in
called ADNOC Gas, which will have one of the August, it said that it was “progressing towards
world’s top gas-processing capacities at around increasing production” as work continues to
10bn cubic feet (283mn cubic metres) per day construct the 3.1bn cubic feet (88mn cubic
from eight processing facilities as well as a pipe- metres) per day Jafurah Gas Plant. Aramco said
line network spanning 3,250 km. ADNOC’s it is expected to be completed in two phases by
announcement said it would sell a minority 2027 with the unconventional Jafurah field seen
stake in the firm in an IPO on the Abu Dhabi beginning production in 2025.

Week 50 15•December•2022 www. NEWSBASE .com P7