UAE’s ADNOC to invest $127bn in 2022-26 as oil, gas reserves rise

UAE’s ADNOC to invest $127bn in 2022-26 as oil, gas reserves rise
Image: Shutterstock
Short Url
Updated 01 December 2021

UAE’s ADNOC to invest $127bn in 2022-26 as oil, gas reserves rise

UAE’s ADNOC to invest $127bn in 2022-26 as oil, gas reserves rise
  • ADNOC said that reinforced the UAE’s position as number six in the world for oil reserves and number seven for gas reserves

Abu Dhabi National Oil Company announced on Wednesday a $127 billion capital spending plan for 2022-2026, as it reported an increase in the United Arab Emirates’ oil and natural gas reserves.


The state-owned company said national reserves had risen by 4 billion stock tank barrels, stb, of oil and 16 trillion standard cubic feet, scf, of natural gas, taking the totals to 111 billion stb and 289 trillion scf respectively.


ADNOC said that reinforced the UAE’s position as number six in the world for oil reserves and number seven for gas reserves.


Abu Dhabi Crown Prince Sheikh Moahmmed bin Zayed chaired the company’s annual board meeting, which approved capital spending of 466 billion dirhams ($127 billion) for 2022-2026, up from $122 billion for 2021-25.


The investment will expand upstream production capacity, the company’s downstream portfolio, plus low carbon and clean energy businesses, it said, without giving details.


ADNOC said that since the launch of its so-called in-country value program in 2018, it had driven 105 billion dirhams back into the UAE economy and created over 3,000 jobs in the private sector, including over 1,000 this year.


It aims to drive over 160 billion dirhams back into the UAE economy across 2022-2026 through the same program, it added.


The ADNOC board also approved a “New Energies Strategy” aimed at reducing its carbon footprint and capitalizing on opportunities in renewable energy, hydrogen and other lower carbon fuels.


Separately, the government announced a global clean energy powerhouse intended to spearhead the drive to net-zero carbon by 2050.

Consolidating their combined efforts in renewable energy and green hydrogen, Abu Dhabi National Energy Company PJSC (TAQA), Mubadala Investment Co. and ADNOC will partner under the Abu Dhabi Future Energy Company (Masdar) brand.


The partnership will have a combined current, committed, and exclusive capacity of over 23 gigawatts (GW) of renewable energy, with the expectation of reaching well over 50 GW total capacity by 2030, TAQA said in a separate statement.


TAQA will take the leading role with a 43 percent shareholding in Masdar’s renewable energy business, with Mubadala holding 33 percent and ADNOC 24 percent.


Meanwhile, ADNOC will take the leading role with a 43 percent shareholding in Masdar’s green hydrogen business, with Mubadala holding 33 percent and TAQA 24 percent, it said.


Aramco’s IKTVA forum kicks off in Dhahran

Aramco’s IKTVA forum kicks off in Dhahran
Updated 14 sec ago

Aramco’s IKTVA forum kicks off in Dhahran

Aramco’s IKTVA forum kicks off in Dhahran
  • The three-day forum is being held at the Dhahran Expo Center in the Kingdom’s Eastern Province

The In-Kingdom Total Value Add, or IKTVA, has kicked off on Monday in Dhahran, highlighting the oil giant’s role in boosting local opportunities in Saudi Arabia. 

The three-day forum, held at the Dhahran Expo Center in the Kingdom’s Eastern Province, will feature opportunities for businesses who are “committed to boosting local content within the Saudi energy economy.”

Read more: Saudi Aramco balances competing priorities as IKTVA enters 6th year

Aramco’s CEO Amin Nasser, as well as its chairman, Yasir Al-Rumayyan, are speaking at the event. Saudi Energy Minister Prince Abdulaziz bin Salman and the governor of the Eastern Province, Said bin Nayef, are also set to speak. 

Launched in 2015, the IKTVA program set out Aramco’s drive to increase domestic value creation as part of the Kingdom’s ambitious economic transformation objectives.

Opinion

This section contains relevant reference points, placed in (Opinion field)

“The most important measurement of success is the impact that IKTVA is having on people’s lives; creating jobs, encouraging learning, expanding career options, and enhancing the Saudi business environment,” according to the event’s website. 

The event ends on Jan. 26.


Saudi-Iraqi businessmen and trade officials meet in Riyadh today

Saudi-Iraqi businessmen and trade officials meet in Riyadh today
Updated 22 min 35 sec ago

Saudi-Iraqi businessmen and trade officials meet in Riyadh today

Saudi-Iraqi businessmen and trade officials meet in Riyadh today

RIYADH: The head of the Saudi-Iraqi Coordination Council on Sunday stressed the importance of relations and common interests between Riyadh and Baghdad, especially in the commercial and investment fields.

Abdulrahman bin Ahmed Al-Harbi, who is also the governor of the General Authority for Foreign Trade, said that “the Kingdom, under the leadership of King Salman and Crown Prince Mohammed bin Salman, attaches great importance to relations with Iraq and the establishment of the Saudi-Iraqi Coordination Council is meant to strengthen the historical relations between the two countries in all fields.”

The secretary-general was speaking a day ahead of the Kingdom hosting the Saudi-Iraqi Business Forum and Council in Riyadh, a statement issued by Saudi Press Agency said.

Al-Harbi said that hosting the forum and the council was also in line with the Kingdom’s Vision 2030 and its role in making the most of economic opportunities and the rapid transformation taking place in the country.

Al-Harbi said that trade relations between the two countries had reached unprecedented levels, with the volume of trade exchange from 2016 to 2021 amounting to nearly SR20 billion ($5.3 billion).

He added that the Saudi-Iraqi Business Forum and the Saudi-Iraqi Business Council were expected to sign a number of agreements and memoranda of understanding between the Saudi and Iraqi private sectors.


Saudi Arabia calls on GCC to speed up establishment of customs union, common market

Saudi Arabia calls on GCC to speed up establishment of customs union, common market
Updated 24 January 2022

Saudi Arabia calls on GCC to speed up establishment of customs union, common market

Saudi Arabia calls on GCC to speed up establishment of customs union, common market
  • Saudi finance minister stressed the importance of overcoming obstacles by achieving a qualitative leap in cooperation

RIYADH: Saudi Arabia’s Minister of Finance Mohammed Al-Jadaan called on Gulf countries to complete the establishment of a customs union, and implement the Gulf common market, to achieve economic unity by 2025.
He was speaking during the 115th extraordinary meeting of the Financial and Economic Cooperation Committee in Riyadh, with Gulf Cooperation Council member state counterparts also in attendance.
The meeting was chaired by Al-Jadaan with the participation of GCC Secretary-General Nayef Al-Hajraf, and a number of officials and specialists.
Al-Jadaan said the Kingdom was keen to redouble efforts to implement King Salman’s vision of promoting joint Gulf action, a statement released by the Saudi Press Agency said.
He stressed the importance of overcoming obstacles by achieving a qualitative leap in cooperation and a consensus among the GCC states at all levels, praising the role of the General Secretariat in expanding ties in line with global developments and long-term strategies of GCC members.
Al-Jadaan added that vigorous steps were being taken to achieve coordination, integration and interdependence among GCC member states in all fields.
During the meeting, the attending ministers reviewed progress on strengthening financial and economic cooperation between GCC states.
They were briefed on the economic decisions issued by the Supreme Council in its 42nd session and a plan to complete the remaining steps for establishing the customs union before the end of 2024, as well as recommendations made by the Customs Union Authority and the Gulf Common Market Committee.
The committee meeting is held periodically to discuss matters of economic progress and developments in legislation and economic measures adopted by GCC members to achieve long-term common strategic interests.


Saudi Arabia spends $991m on water projects in Jazan area

Saudi Arabia spends $991m on water projects in Jazan area
Updated 23 January 2022

Saudi Arabia spends $991m on water projects in Jazan area

Saudi Arabia spends $991m on water projects in Jazan area

RIYADH: Saudi Arabia’s Ministry of Environment, Water, and Agriculture, known as MEWA, launched on Sunday 20 water and environmental projects to provide sustainability in the southwest of Saudi Arabia, set to cost a total of SR3.6 billion ($991 million). 

The Ministry, in participation with the Emirate of Jazan Province inaugurated four water projects costing over SR2.5 billion, to produce desalinated water in Jazan.

Five further water projects costing more than SR709 million were also initiated to expand water transmission systems. Seven projects for water and environmental services costing SR346 million were initiated to expand distribution.

The inauguration involved four projects costing more than SR70 million, to enhance water resources, serving more than 1.3 million beneficiaries in the region.

 


Saudi Industrial Development Fund to provide new financing products worth $3bn this year

Saudi Industrial Development Fund to provide new financing products worth $3bn this year
Updated 23 January 2022

Saudi Industrial Development Fund to provide new financing products worth $3bn this year

Saudi Industrial Development Fund to provide new financing products worth $3bn this year

RIYADH: The Saudi Industrial Development Fund will launch and update new financing products to serve new sectors during the current year, at a value ranging between SR10 billion to SR11 billion ($2.6 billion to $3 billion).

The Fund's spokesperson Khalil Al-Nimri told Alarabiya it will be targeting four sectors, with the Supply Chain Finance program being one of the programs to be updated. Alarabiya didn't name the sectors.

This comes as the fund seeks to boost private sector investment in targeted sectors and appeal to a large number of investors. 

So far, the Saudi Industrial Development Fund has approved the financing of more than 100 projects in the mining sector, amounting to a total of SR28 billion, Al-Nimri said.