The Abu Dhabi National Oil Company, known by its acronym ADNOC, is the state-owned oil company of Abu Dhabi, United Arab Emirates. It is the world's 12th largest oil company by production.[2] As of 2021, the company has an oil production capacity exceeding 4 million bpd with plans to increase to 5 million bpd by 2030.[3][4] It is the United Arab Emirate's largest oil company.[5][6][7]
ADNOC's output was roughly flat at about 2.5 million barrels per day during the 1990s. It stood at 2.9 mbpd in 2008. Although its financial indicators are difficult to assess as the company has been described as secretive, it has also been described as efficient and well managed.[8] ADNOC is one of few oil companies in the world to make a substantial investment to increase oil production amid growing pressure to reduce output due to climate change.[9]
History
In November 2019, ADNOC received approval from the emirate's Supreme Petroleum Council to list its flagship Murban crude oil as a futures contract on an international stock exchange. Murban is a highly prized grade of crude oil that accounts for about half of the UAE's total oil output of about 3 million barrels per day.[10]
A joint venture between ADNOC and the Abu Dhabi Developmental Holding Company (ADQ) was launched in July 2020 to invest in chemicals projects in the planned Ruwais Derivatives Park. ADNOC will have a 60% stake while ADQ will hold a 40% share.[11]
In December 2021, ADNOC and Abu Dhabi National Energy Company PJSC (TAQA) announced a $3.6 billion project to aim to reduce the carbon footprint of ADNOC's offshore production operations by more than 30%.[12]
In December 2022, it was announced ADNOC had acquired a 24.9% stake in Austrian integrated oil, gas, and petrochemical company, OMV
Operations
As of November 2019, the UAE holds the sixth-largest proven reserves of oil in the world at 105 billion barrels.[19] Most of these reserves are located in Abu Dhabi.[20]
ADNOC is one of the world's largest energy companies measured by both reserves and production. ADNOC has 16 subsidiary companies in upstream, midstream, and downstream stages of production.[21] ADNOC develops both onshore and offshore gas fields. The company operates two oil refineries, Ruwais Refinery and Umm Al Nar. ADNOC exports natural gas in the form of liquefied natural gas (LNG) in addition to producing supplies for local electricity and water utilities, to other domestic industries including petrochemicals plants, and for re-injection into reservoirs.[22][23]
Leadership and corporate governance
Sultan Ahmed Al Jaber
Sultan Ahmed Al Jaber is the Minister of Industry and Advanced Technology in the UAE,[32] CEO of ADNOC,[33] the UAE's special envoy for climate change,[34] and was Hey head of the COP28 climate summit.[35] Under Al Jaber's leadership, ADNOC has invested in renewable energy and carbon capture,[36][37]
Operating companies
ADNOC operates numerous companies with different functions, including exploration and production; processing and refining; marketing and distribution.
Exploration and production of oil and gas
ADNOC Onshore
ADNOC Onshore works onshore and in shallow coastal water. It is previously known as Abu Dhabi Company for Onshore Petroleum Operations, ADCO. ADNOC Onshore operates primarily in Abu Dhabi. The company was originally known as Petroleum Development (Trucial Coast). It received its first concession on January 11, 1939, but did not begin geological operations until after World War II. The first commercially viable oil discovery was made at Bab in 1960. In 1962, the company was renamed the Abu Dhabi Petroleum Company. Exports began to flow from the Jebel Dhanna terminal on December 14, 1963. Abu Dhabi's government acquired 25% equity in the company in 1973 and increased its stake to 60% in 1974. The company started using the name Abu Dhabi Company for Onshore Petroleum Operations, ADCO, in 1978. ADNOC Onshore's primary exports are from the Jebel Dhanna and Fujairah terminals. ADNOC have a 60% share, the remaining 40% is split (CNPC (8%), BP (10%), Total (10%), Inpex
See also
- Asab oil field[92]
- Emirates National Oil Company (ENOC)
- International Petroleum Investment Company
- List of oil exploration and production companies
- Mubadala Investment Company
- Abu Dhabi Investment Authority
External links
References
- Abu Dhabi's ADNOC cutting 5,000 jobs – MEED retrieved January 21, 2018^
- Adnoc among top 10 oil and gas firms worldwide, new ranking finds The National, January 5, 2019, retrieved December 2, 2020^
- ADNOC awards $744 mil contract to develop offshore block amid oil capacity boost