ADNOC and PETRONAS to Collaborate Across O&G Value Chain
The Abu Dhabi National Oil Co. (ADNOC) has signed a strategic framework agreement with Malaysian state-owned oil company Petroliam Nasional Bhd (PETRONAS) to explore opportunities for collaboration across the oil & gas chain.
Under the terms of the agreement, the first ever to be signed between the companies, ADNOC and PETRONAS will jointly explore opportunities for collaboration in the exploration, development, and production of conventional and unconventional hydrocarbon resources in the UAE. This highlights ADNOC’s approach to leveraging strategic partnerships to accelerate the exploration and development in the country.
The agreement will also enable both companies to assess strategic opportunities for domestic and international collaboration across the downstream sector.
ADNOC and PETRONAS have also agreed to explore potential partnership opportunities in trading, including optimization of crude and feedstock supply and refined products offtake. In addition, they may collaborate to identify technology solutions as well as on hydrogen and research and development (R&D) in areas of mutual interest, including enhanced hydrocarbon recovery and Carbon Capture Utilization and Storage (CCUS), where ADNOC is currently an industry leader.
“The agreement offers the potential for exciting opportunities for both companies to unlock and create value across the full oil and gas value chain as we shape our businesses for a post-Covid economy. We see significant potential in this agreement and look forward to converting it into mutually beneficial partnerships,” said H.E. Dr. Sultan Ahmed Al Jaber, UAE’s Minister of Industry and Advanced Technology and ADNOC’s Group CEO.
“PETRONAS believes the collaboration with ADNOC bears strong testimony to the shared vision of both organizations to pursue value creation through progressive and cleaner energy solutions as we navigate the challenges of an accelerating energy transition,” added Tengku Muhammad Taufik, President and Group CEO of PETRONAS.