ADNOC Board sanctions new gas company plan

ADNOC Board sanctions new gas company plan

Abu Dhabi National Oil Company’s (ADNOC) board of directors has approved a $150 billion (Dh550 billion) budget for the next five years as the company prepares to set up its new gas processing and marketing company, ADNOC Gas.

The flagship company will combine the operations, maintenance, and marketing of ADNOC Gas Processing and ADNOC LNG into one consolidated entity. Further, the new subsidiary will begin operations on January 1, 2023.

ADNOC said in a statement that it plans to float a minority stake in the new company on the Abu Dhabi Securities Exchange (ADX) in 2023.

The announcement was made during the annual meeting of ADNOC’s board of directors, which was chaired by the UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan.

During the meeting, which was held at ADNOC headquarters, the board directed ADNOC to pursue a Net Zero by 2050 ambition to support the UAE Net Zero by 2050 Strategic Initiative. The board also approved ADNOC’s strategy to accelerate growth across its value chain to responsibly meet rising energy demand and support global energy security.

As part of the strategy, ADNOC will establish a new Low Carbon Solutions & International Growth vertical focused on new energies, gas, liquefied natural gas (LNG),