Page 9 - MEOG Week 08 2023
P. 9

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
   4   5   6   7   8   9   10   11   12   13   14