Page 9 - MEOG Week 08 2023
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MEOG FINANCE & INVESTMENT MEOG
ADNOC announces intention
to list 4% of gas unit
UAE ABU Dhabi National Offshore Oil Co. and LNG businesses.
(ADNOC) announced this week that it will sell The recently formed ADNOC Gas is one of
a 4% stake in its gas division when it lists on the the world’s largest gas processors with a capacity
local stock exchange next month. of 10bn cubic feet (283mn cubic metres) per day,
Subscriptions for the ADNOC Gas initial eight processing facilities as well as a pipeline
public offering (IPO) are set to open next week network spanning more than 3,250km.
and the period will close on March 2 ahead of HE Dr. Sultan Ahmed Al Jaber, the UAE’s
listing on the Abu Dhabi Securities Exchange Minister of Industry and Advanced Technology
(ADX) on March 13. and ADNOC Managing Director and CEO, said:
Having transferred 5% of the share capital in “Natural gas will be a critical fuel in the energy
ADNOC Gas to Abu Dhabi National Energy Co. transition and ADNOC Gas, through its world-
(TAQA), ADNOC holds 95% in the company scale operations and significant growth and
and will hold 91% after listing 3.07bn shares in expansion plans, will be well-positioned to meet
the IPO. both local and international gas demand.”
Sources told Reuters last week that ADNOC He added that “ADNOC Gas will play a crit-
is targeting a valuation of $50bn and potentially ical role in delivering ADNOC’s broader LNG
generating around $2bn from the sale. expansion plans, including in international mar-
Following the listing, ADNOC Gas intends to kets,” noting that the company would “continue
pay dividends of $1.625bn during Q4 for the first to be a reliable provider of LNG, LPG and asso-
half of the year, and another $1.625bn during Q2 ciated products.”
2024 for the second half of 2023. ADNOC’s press release noted the appoint-
ADNOC said it expects to “grow the annual ments of Ahmed Mohamed Alebri as acting
target dividend amount from $3.25 billion by a CEO, Mohamed Al Hashemi as chief operating
growth rate of 5% per annum on a dividend per officer and Peter Van Driel as chief financial
share basis over the period 2024-2027.” officer.
In December, ADNOC was reported to have This cited the extensive experience of the
asked banks to pitch for work in supporting former two execs with ADNOC Gas Processing,
the listing of ADNOC Gas on the local stock while Van Driel is a 28-year veteran of Shell.
exchange. The Emirati NOC is working to raise its oil
Reuters quoted people involved in proceed- production capacity of 4.2mn barrels per day
ings as saying that ADNOC had invited banks to (bpd) or so to 5mn bpd by 2025, and up to 6mn
pitch to join Goldman Sachs in a syndicate, while bpd by the end of the decade, the date by which
sources told Bloomberg that Bank of Amer- it also intends to become self-sufficient in gas
ica Corp. and First Abu Dhabi Bank have been production.
chosen as joint global coordinators on the initial Increased oil output will be complemented
public offering (IPO). The latter report said that by the development of the giant offshore Ghasha
ADNOC has invited banks to pitch for the role concession, which contains the Dalma, Gha-
of bookrunner. sha, Hail, Mubarraz, Nasr and Satah al-Razboot
The company’s gas arm was formed in Jan- (SARB) fields and is the world’s largest offshore
uary when ADNOC merged its gas processing sour gas development.
Week 08 22•February•2023 www. NEWSBASE .com P9
