ADNOC delivers first shale gas from the UAE

ADNOC delivers first shale gas from the UAE
In November 2018, ADNOC signed a deal with TOTAL granting it a 40 percent stake in the Ruwais Diyab Unconventional Gas Concession. (File/Shutterstock)
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Updated 11 November 2020

ADNOC delivers first shale gas from the UAE

ADNOC delivers first shale gas from the UAE
  • Abu Dhabi has announced the discovery of some 160 trillion standard cubic feet of unconventional gas recoverable resources
  • In recent years the growth of the shale oil and gas sector has disrupted the market, especially in the US

LONDON: The UAE has delivered its first unconventional gas as it takes a step closer to becoming self-sufficient in the energy feedstock.
The Abu Dhabi National Oil Company (ADNOC) and TOTAL said the unconventional gas was delivered from the Ruwais Diyab concession located 200 kilometers west of Abu Dhabi city.
The pair are targeting the production of 1 billion standard cubic feet of gas from the concession before 2030, ultimately enabling gas self-sufficiency for the UAE. It comes two years after the signing of the region's first unconventional gas concession agreement.
"This achievement marks another important milestone in the development of the UAE’s unconventional gas resources as we deliver on our integrated gas strategy and work to achieve gas self-sufficiency for the nation," said Yaser Saeed Almazrouei, ADNOC upstream executive director.
The big oil and gas economies of the Middle East have long been conventional producers, able to extract hydrocarbons at relatively cheap cost from close to the surface or in shallow waters offshore.
In recent years the growth of the shale oil and gas sector has disrupted the market, especially in the US, where the Permian Basin that straddles Texas and New Mexico has provided plentiful supplies of oil and gas trapped between layers of rock and sand.
Now Gulf energy producers are also starting to tap unconventional gas supplies with Saudi Arabia also planning some $100 billion of investment in a vast unconventional gas development in the Jafurah basin.
For countries such as the UAE and Saudi Arabia that need gas both to provide domestic energy as well as a feedstock to make higher value petrochemicals, such unconventional finds are crucial in diversifying their economies.
However the emerging unconventional producers in the region face a number of challenges in extracting tight gas including access to the vast amounts of water that typically needed for fracking as well as finding contractors with relevant experience in the industry.

Abu Dhabi has announced the discovery of some 160 trillion standard cubic feet of unconventional gas recoverable resources.
In November 2018, ADNOC signed a deal with TOTAL granting it a 40 percent stake in the Ruwais Diyab Unconventional Gas Concession.

 


Saudi Arabia’s Amkest Group signs deal with US green energy firm

Amr Khashoggi, Chairman of Amkest Group and Scott Poulter, Chief Executive of Pacific Green Technologies
Updated 05 December 2020

Saudi Arabia’s Amkest Group signs deal with US green energy firm

Saudi Arabia’s Amkest Group signs deal with US green energy firm
  • Its expansion into Saudi Arabia through this joint venture is no surprise since the Kingdom is aiming for 30 percent of its energy to come from renewable sources by 2030

RIYADH: US-based Pacific Green Technologies Inc. (PGTK) has signed a joint venture agreement with Amr Khashoggi Trading Co. Ltd. (Amkest Group) to incorporate a company in Saudi Arabia for the sale of Pacific Green environmental technologies.
Amkest Group, founded in 1983, has a history of success in the Kingdom. Its diverse business portfolio includes construction material production and supply, property development and consulting services.
Commenting on the partnership, Scott Poulter, PGTK’s CEO, said: “Saudi Arabia under its Vision 2030 strategic framework, which calls for 9.5 GW of the Kingdom’s energy to be supplied through renewables by 2030, is set to undergo rapid growth.”
Poulter added: “Pacific Green’s technologies, particularly in the solar power, desalination and battery energy storage system sectors, provide the perfect solution to the Kingdom’s growing demand, and we are excited to leverage Amkest Group’s hard-earned relationships to contribute toward the goals of Vision 2030.”
Amr Khashoggi, chairman of Amkest Group, said: “We believe the combination of our experience and knowledge of the Saudi market, coupled with Pacific Green’s portfolio of technologies, provides the foundation for an incredible partnership and the opportunity to offer multiple complementary technologies.”
Pacific Green is focused on addressing the world’s need for cleaner and more sustainable energy. Its expansion into Saudi Arabia through this joint venture is no surprise since the Kingdom is aiming for 30 percent of its energy to come from renewable sources by 2030.
The deal comes on the back of an expectation that Saudi Arabia will attract more than $20 billion in investments in renewables over the next decade. This forecast was made by the CEO of Saudi National Grid in October, according to a report by S&P Global.