The decision is built on ADNOC’s strong record as a leading lower-carbon intensity energy producer, which includes its use of zero-carbon grid power, a promise to zero flaring as part of routine operations, and the implementation of UAE’s first carbon capture project.
Abu Dhabi’s ADNOC (Abu Dhabi National Oil Company) on Thursday announced its decision to allocate a whopping Dh55 billion to decarbonize its projects by 2023. This decision is built on ADNOC’s strong record as a leading lower-carbon intensity energy producer, which includes its use of zero-carbon grid power, a promise to zero flaring as part of routine operations, and the implementation of UAE’s first carbon capture project.
The bold new decision is followed under the management of ADNOC’s board of directors, who decided to step up the distribution of its low-carbon growth strategy and authorization of its Net Zero by 2050 ambition. The projects that are on agenda will include carbon capture and storage (CCS), investments in clean power, energy efficiency, further electrification of its operations, and new measures to build on ADNOC’s policy of zero routine gas flaring.
As a part of the new initiative, the company will announce a series of new projects which includes the company’s innovative carbon removal technologies; strengthening of international partnerships; its distinctive CCS project; and investment in new, cleaner energy solutions. “ADNOC will apply a rigorous commercial and sustainability assessment to ensure that each project delivers lasting tangible impact”, announced the company in an official statement released on Thursday.
Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, and ADNOC Managing Director and Group CEO stated that the world requires a practical approach to the energy transition that supports the growth of the organization and befits the climate consciousness and “ADNOC is delivering tangible actions in support of both these goals”, says Dr. Sultan Ahmed Al Jaber.
“Together with the recent formation of the ADNOC’s new Low Carbon Solutions and International Growth Directorate, these represent tangible and concrete action as the company reduces its carbon intensity by 25% by 2030 and moves towards its Net Zero by 2050 ambition”, read the company’s statement.
Decarbonizing the operations
ADNOC’s Al Reyadah facility can capture more than 700,000 tons of carbon dioxide in a year. ADNOC will further come up with plans to initiate technologies to capture, store, and absorb carbon dioxide by utilizing the geopolitical properties of the United Arab Emirates. The aim is to be established as a hub for innovation and carbon capture expertise globally for the United Arab Emirates and with this initiative, the region would move one step ahead to achieving its goal. The oil company’s development of CCS is intended to support the augmented low-carbon and hydrogen production capabilities in Abu Dhabi.
“This strategic, multibillion-dollar initiative underscores ADNOC’s industry leadership as a leading global provider of lower-carbon energy,” says Dr. Sultan Ahmed Al Jaber.
ADNOC has delivered test cargo of low-carbon Ammonia to Asia and Europe already and focuses on expanding its energy portfolio, which is to be delivered through its stake in Masdar. Masdar currently leads the drive to develop UAE as the pioneer in green hydrogen.
Abu Dhabi Oil Company has received its grid power supply from the Emirates Water and Electricity Company’s nuclear and solar energy sources since 2022. A Dh14 billion deal to build a sub-sea transmission network in the MENA region was accomplished recently to club the company’s offshore operations with an onshore power network that helps in reducing carbon emissions by 50 percent.