UAE’s oil producer Adnoc plans a 50% boost in low-carbon spending
Adnoc will increase its low-carbon project budget to $23 billion from the initial $15 billion announced a year ago
The United Arab Emirates (UAE) is set to increase spending by over 50% on energy projects aimed at mitigating carbon dioxide emissions, as Abu Dhabi’s government-owned oil producer, Abu Dhabi National Oil Co. (Adnoc), targets global expansion. Adnoc plans to allocate $23 billion to low-carbon initiatives, up from the initial commitment of $15 billion announced a year ago for such investments through 2030. The company has not specified the timeframe for this enhanced investment or provided additional details on the nature of the new projects.
Adnoc is actively working on projects to capture carbon emissions at its natural gas processing plants and is also developing a trading desk for emission credits. The UAE, having recently hosted the UN’s annual climate summit in Dubai, is strategically positioning itself to produce and market oil and natural gas in a future where the global energy landscape shifts away from hydrocarbons. Adnoc, along with other energy producers, advocates for gas as a cleaner-burning alternative that can replace more polluting sources like coal in growing economies.
With a commitment of $150 billion over five years, Adnoc is focusing on expanding hydrocarbon production capacity and strengthening its global presence by developing international gas and chemicals businesses. Adnoc’s CEO, Sultan Al Jaber, emphasized the company’s emphasis on “transformational growth, partnerships, and international opportunities,” as it pursues various deals, including the merger of two chemical holdings into a $30 billion producer and the acquisition of international gas assets.
