PETRONAS and ADNOC sign MoU

Discussions between the parties began following His Majesty Seri Paduka Baginda The Yang di-Pertuan Agong Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah’s five-day special visit to the UAE in December 2020 at the invitation of the Crown Prince of the Emirate of Abu Dhabi, Sheikh Mohamed Zayed Al Nahyan. The resulting MoU marks a significant milestone in the Malaysia-UAE bilateral relations.

The PETRONAS-ADNOC MoU spans the entire oil and gas value chain where ADNOC welcomes PETRONAS to seek opportunities to collaborate in the exploration, development, and production of Abu Dhabi’s significant conventional and unconventional resources. The scope extends into potential R&D and applied technology co-operation in enhanced hydrocarbon recovery, carbon capture, utilisation and storage, gas sustainability, specialty chemicals, unconventional resources and hydrogen technologies.

In the downstream sector, PETRONAS and ADNOC will explore co-operation in trading, including the supply of crude and feedstock and the offtake of refined products. Both parties will also assess domestic and international opportunities to maximise value creation down the chain. Another potential is in the area of fuel bunkering and in supporting LNG bunkering vessels at ports in the UAE and the region.

The MoU was formalised by PETRONAS President and Group Chief Executive Officer Tengku Muhammad Taufik Tengku Aziz and UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group Chief Executive Officer His Excellency Dr Sultan Ahmed Al Jaber.

Tengku Taufik said: “PETRONAS believes the collaboration with ADNOC bears strong testimony to the shared vision of both organisations to pursue value creation through progressive and cleaner energy solutions as we navigate the challenges of an accelerating energy transition. We look forward to working together with ADNOC to address growing energy demand in a responsible and sustainable way.”

H.E. Dr. Al Jaber said: “We are very pleased to partner with PETRONAS for the first time through this important framework agreement. The agreement is a natural evolution of the strong ties between the UAE and Malaysia and provides an opportunity to deepen the relationship through strategic energy co-operation.

“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-19 economy. We see significant potential in this agreement and look forward to converting it into mutually beneficial partnerships.”

Read the article online at: https://www.lngindustry.com/special-reports/12032021/petronas-and-adnoc-sign-mou/