Adnoc sets sights on global expansion
SOUTH EAST ASIA, MIDDLE EAST AND SUBCONTINENT ARE PROMISING
The Abu Dhabi National Oil Company (Adnoc) will continue to look for opportunities in the Middle East, Indian subcontinent, South East Asia and Africa to grow its petrochemicals and refining business, a top executive of the firm told Gulf News in an interview.
“Our focus remains the UAE but we will continue to look for new opportunities in the wider Middle East, Asia and select African areas where we have a good reach and with good prospects to place our crude and grow our business,” said Abdul Aziz Al Hajri, director of Adnoc’s Downstream Directorate.
Adnoc is currently investing in India’s $44 billion (Dh161 billion) Ratnagiri refinery and petrochemicals complex in collaboration with Saudi Aramco, to tap the rapidly growing petrochemicals market in the South Asian country.
Under an agreement inked earlier this year, Adnoc and Saudi Aramco will jointly own a 50 per cent stake in the new joint venture company — named Ratnagiri Refinery and Petrochemicals Limited (RRPCL) — while the remaining stake will be held by Indian companies like Indian Oil Corporation, Bharat Petroleum Corporation Limited and Hindustan Petroleum Corporation Limited.
Strategic market
Al Hajri said India is a strategic market with rapid growth expected in petrochemicals business due to economic and population growth.
“India is a very strategic market for us and we have strategic government-to-government relations. We expect demand for petrochemicals to grow in the coming years,” he said, adding they will continue to evaluate opportunities in the Subcontinent, including India, Pakistan and other nations for refining, storage and distribution.
Al Hajri added that Adnoc is closely working with Mubadala to find new opportunities in Pakistan and other countries, after the two companies signed a framework agreement earlier
this week to explore growth opportunities in refining and petrochemicals business.
“This agreement will ensure we continue to maximise value from our hydrocarbon resources,” he said.
On the expansion of Ruwais petrochemicals complex, Al Hajri said it will act as a catalyst for the entire region’s growth, with new industrial parks coming up at the site.
Adnoc is investing $45 billion over the next five years to expand Ruwais complex, to double its crude refining capacity and increase petrochemicals
production. Rizwan Khalil Al Shaikh, manager, strategy and business development of Adnoc, said Ruwais is well positioned to tap the international markets and grow its business.
“With almost all potential building blocks such as olefins, aromatics, ammonia, hydrogen etc available now or shortly once we have implemented our $45 billion investment programme, we are evaluating various bilateral arrangements to secure the two billion plus market that is less than three days sailing time from Ruwais.