Adnoc, ExxonMobil eye new investment in offshore field

ABU DHABI / WAM

Dr Sultan bin Ahmad Sultan Al Jaber, Minister of State and Group CEO of the Abu Dhabi National Oil Company (Ad-noc), and Darren W. Woods, Chairman and CEO of Exxon Mobil Corporation (ExxonMobil), met to explore new opportunities for collaboration in the upstream and downstream sectors, and discuss wider regional and business-related developments of
mutual interest.
The discussions coincided with a joint visit to review the progress of the over $30 billion (AED110 billion) expansion taking Upper Zakum to a production capacity of 750 thousand barrels per day (mbpd) and 1 million barrels per day (mmbpd) respectively, with the latter planned for 2024.
Adnoc is leveraging mutually beneficial partnerships to drive new commercial opportunities and expand its portfolio across the upstream and downstream sectors, to enable the UAE’s socio-economic development objectives.
Dr Al Jaber said, “Our partnership with ExxonMobil going back 80 years reflects the strong, deep-rooted and long-standing economic and political ties between the UAE and the US. At Adnoc, we continue to place great importance on our strategic par- tnerships with the US energy sector, which has contributed to further enhancing the economic relations between our two countries.”
“Our existing partnership with ExxonMobil on the Upper Zakum field is a prime example of how Adnoc engages with world-class partners that bring expertise and advanced technology to unlock value from our resources, for mutual benefit, and deliver the greatest possible returns to the UAE. We are keen to stre-ngthen this strategic partnership across the entire value chain, as we accelerate delivery of our 2030 smart growth strategy.”
During the visit, Dr Al Jaber and Woods inspected key facilities at Al Ghallan Island which is under development for future production as part of the ongoing project, known as UZ750, to increase the production capacity of the Upper Zakum field to 750 mbpd.
The UZ750 project is estimated to see an investment of around $21.8 billion (AED80 billion) and comprises four new artificial islands, to accommodate drilling rigs, processing facilities and infra- structure required to handle production capacity growth to 750 mbpd, effectively creating an onshore environment offshore.
Dr Al Jaber and Woods discussed downstream investments, including gas and liquefied natural gas (LNG) opportunities, followingADNOC’s 2018 announcement of ambitious expansion plans in Petrochemicals and Refining.
ExxonMobil and ADNOC share a long history of technical collaboration in the downstream business both through licensing of technologies as well as support in catalysts.