Page 17 - MEOG Week 10 2021

MEOG NEWS IN BRIEF MEOG

ADNOC says low carbon oil ADNOC’s existing hydrocarbon value chain. to recovery. The other is economic activity. In
“Vaccination coverage is one of the keys
“In short, ADNOC will continue to
will play a central role in commercialize opportunities that strengthen response to the pandemic, governments have
been quick to unleash stimulus like we have
the UAE’s position at the center of gravity of
the energy transition an integrated energy mix,” Al Jaber said. never seen before. There is likely more on
the way, and while we should remain vigilant
Responding to a question on climate
His Excellency Dr. Sultan Ahmed Al Jaber, change from the moderator of the session, about potential inflationary risks, we should
UAE Minister of Industry and Advanced the leading energy economist and Pulitzer- acknowledge leaders around the world for
Technology and Managing Director and Prize winning author Dr. Daniel Yergin, Vice acting quickly decisively.
Group CEO of the Abu Dhabi National Oil Chairman of IHS Markit, Al Jaber stressed the “Looking regionally, we see that one of the
Company (ADNOC) said low carbon oil will UAE will continue its role as a regional leader major powerhouses of the global economy,
play a central role in the energy transition. and convener of progressive climate action, China, has already recovered in GDP (gross
Speaking at CERAWeek alongside Vicki building on its record as the first country in domestic product) terms, and is back to
Hollub, CEO of Occidental, during a virtual the region to sign the Paris Accords. robust growth. And we expect another key
panel session, Al Jaber explained that the He highlighted the importance of carbon player in the global economy, the US, to
United Arab Emirates (UAE) is uniquely capture utilization and storage (CCUS) in the return to its pre-Covid level of GDP this year
positioned to provide lower carbon oil and fight against climate change and said ADNOC and continue growing into 2022,” Dr. Al Jaber
gas for as long as the world still relies on saw the technology as a ‘game-changer’ said.
hydrocarbons energy. when it introduced it in the region four years He pointed out the rebound in oil demand
“When it comes to low carbon oil and gas, ago by building the region’s first and largest has also been robust from last year’s low of
the UAE has a dual advantage; a leadership industrial-scale CCUS facility. around 75 million barrels per day. “Global
that has always put environmental protection “The truth is, there is no credible way of consumption is currently around 95 million
first, and a natural advantage, because our reaching global climate goals without the barrels per day and we expect it to rise above
geology gives us some of the least carbon- widespread adoption of CCS and this goes pre-Covid levels by the end of this year.”
intensive oil in the world,” Al Jaber said as beyond just the oil and gas industry. In fact, I Stressing the need for the oil and gas
he went on to explain that the UAE has been see an important role for CCS across sectors industry to focus on ‘what we can control’ Al
preparing for the energy transition for over 15 that are hard to decarbonize and use the most Jaber explained how ADNOC adopted this
years. energy such as heavy industry manufacturing approach as part of its transformation.
“Rather than shy away from it, we have and chemicals. And ADNOC is ready to “Over this period, we have focused on
always seen the energy transition as an partner with others within and outside our improving our performance and enhancing
opportunity to diversify and develop our industry to enable wider CCS adoption,” Al efficiency throughout our operations. For
economy. As the founding CEO of Masdar, Jaber said. ADNOC, we believe one of the essential
I was closely involved in growing the UAE’s ADNOC can capture 800,000 tons of enablers for increased efficiency is technology.
renewable investments, and today, the UAE carbon dioxide (CO2) annually through For example, through technology upgrades
has three of the largest and lowest-cost its Al Reyadah facility in Abu Dhabi and is to our drilling business, which is the largest
solar projects in the world with significant expanding the capacity of this program to in the region, we have driven efficiency gains
renewable energy projects in thirty countries capture 5 million tons every year by 2030. of more than 35%, enabling substantial cost
globally. Sharing his perspective on the economic savings.
“Having said that, we also understand that outlook, Al Jaber expressed optimism “At the same time, we remain focused on
the world will still need oil and gas for many and highlighted the dual positive impact capital efficiency by proactively managing our
decades to come, so our mission at ADNOC of vaccines and stimulus programs from asset and resource base, while attracting top
is to provide that oil and gas as responsibly as governments. tier global investors to the trusted, business-
possible.” “With vaccines rolling out around the friendly environment of the UAE. In short, to
ADNOC is delivering on this mission as it world, 2021 is looking brighter. Here in the remain competitive, you have to be a low-cost
reduces its carbon intensity by a further 25% UAE, we have a very proactive vaccination producer, and we continually focus on ways
over the next 10 years, Al Jaber said, adding program. More than six million doses have to enhance our position as one the lowest cost
that the company is exploring the potential been administered so far and we are closing producers in the world,” Al Jaber said.
of new fuels such as Hydrogen, which shows in on 50 percent coverage across our entire WORLD OIL
‘great promise as a close to zero-carbon fuel’ population – the second-highest rate in the
that could be produced at scale as part of world.

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