ADNOC Deepens Partnerships with Major US Energy Companies

ADNOC Deepens Partnerships with US Energy Companies

 

ADNOC Deepens Partnerships with Major US Energy Companies in Promising Strategic Deals

The UAE's ADNOC announced a series of new agreements with major US energy companies, reflecting the deepening economic ties between Abu Dhabi and Washington, not only based on mutual interests, but also as a strategic partnership that keeps pace with global changes in energy security.

This announcement came during the UAE-US Business Dialogue, attended by US President Donald Trump, at a sensitive time marked by volatility in energy markets and the efforts of producing countries to secure their future shares of investment and technology.

The agreements, valued at $60 billion within the UAE, include pivotal projects with companies such as ExxonMobil, Occidental, and EOG Resources. They cover several areas, such as the development of the Upper Zakum field, one of the largest offshore fields in the world, and the expansion of the Shah gas field, one of the most prominent sources of high-sour gas in the region.

However, the partnership is not one-sided. The UAE is expected to invest massively, reaching $440 billion in the US energy sector by 2035, as part of a comprehensive plan to expand its investment influence abroad and diversify sources of income.

The most striking shift in these agreements is the deep integration of technology and artificial intelligence into development processes. Plans include the establishment of smart infrastructure at Zakum that enables remote operations, the use of clean electricity to reduce emissions, and the use of artificial islands for drilling to protect the environment.

In return, the Supreme Council for Financial and Economic Affairs in Abu Dhabi granted the American company EOG Resources a new concession to explore unconventional oil resources in the Al Dhafra region. This reinforces Abu Dhabi's confidence in its American partners and reflects its position as a reliable investment destination.

ADNOC's XRG is a key player in this phase, having signed a framework agreement with Point Five to develop a direct carbon capture facility in Texas, furthering the drive towards cleaner energy, with a potential commitment to invest up to a third of the project cost.