Marasi 31(2)

The global oil and gas sector is a
critical enabler of economic growth in
the 4th Industrial Age, according to
His Excellency Dr. Sultan Ahmed Al
Jaber, the UAE minister of state and
group CEO of the Abu Dhabi National
Oil Company (ADNOC). H.E. Dr. Al
Jaber said the world is on the verge
of an era of unprecedented prosperity.
This will be driven, he said, by
rapid advances in technology and a
global middle class, which will grow to
five billion people by 2030, creating
greater demand for energy and products
derived from oil and gas.
“We are at the cusp of a new age
of opportunity for our industry, an
era in which digital innovation is
delivering unprecedented levels of
progress,” H.E. Dr. Al Jaber told the
audience of government ministers,
industry CEOs, policymakers
and decision makers during his
keynote speech at the Abu Dhabi
International Petroleum Exhibition
and Conference (ADIPEC). He added,
“This era, known as the 4th Industrial
Age, is creating a paradigm shift in
global growth and driving demand
for our products. Our industry must
step up to enable this massive stepchange
in global development.”
H.E. Dr. Al Jaber also emphasized
the importance of ADNOC’s
downstream expansion. “This
expansion capitalizes on our highgrade
feedstock, proximity to growth
markets and best-in-class logistics
to create an integrated plug and play
ecosystem, an ecosystem where I
invite partners to invest and grow
alongside ADNOC as we continue
on our journey to diversify the UAE’s
economy, enable in-country value
and support GDP growth,” he said.
Inks a major deal with Saudi
Aramco
ADNOC has also signed a deal recently
with Saudi Aramco to explore
investments in improving gas and
LNG to expand its revenues. Under
the deal, Saudi Aramco and ADNOC
will jointly assess investment opportunities
across the natural gas and
LNG value chain, exchange technical
knowledge and expertise in natural
gas and LNG growth markets. H.E.
Dr. Al Jaber said increased cooperation
between ADNOC and Saudi
Aramco will ensure greater energy
security and long-term economic
prosperity for both nations.
H.E. Dr. Al Jaber explained, “The
UAE and the Kingdom of Saudi Arabia
have a strong relationship built on
shared strategic interests. Increased
cooperation between ADNOC and
Saudi Aramco will ensure greater energy
security and long-term economic
prosperity for both nations.”
He added, “This agreement reinforces
our strategy to undertake
partnerships with forward-thinking
partners who can help accelerate access
to new growth centers of global
demand. It will ensure that we are
well positioned to secure greater
returns from global natural gas and
LNG demand growth by combining
the technological and operational expertise
of two of the world’s leading
National Oil Companies.”
Recently, ADNOC had announced
that it aims to become self-sufficient
as well as a net gas exporter in the
coming years. It announced investment
of Dh486 billion to ramp up oil
production and investments in gas in
the coming years. H.E. Dr. Al Jaber
clarified, “We have also revealed an
AED 5.1 billion (U.S. $1.4 billion) investment
to upgrade and expand Bu
Hasa field, which will increase crude
oil production capacity to 650,000
barrels per day (bpd).”
Groundbreaking IBM Blockchain
application
ADNOC has successfully collaborated
with IBM to pilot a Blockchainbased
automated system to integrate
oil and gas production across the full
value chain. The groundbreaking system
provides a secure platform for
the tracking, validating and execution
of transactions at every stage, from
production well to the end customer.
ADNOC expects this technology to
reduce the time it takes to execute
transactions between its operating
companies and says it will increase
operational efficiency across its value
chain. It will also enable greater
transparency in transactions. For
example, as crude oil makes its way
from the production well to the refinery,
or the export terminal, all quantities
are accounted for on a daily basis
along with the associated monetary
values. Other products included in
the Blockchain application are gas,
condensates, Natural Gas Liquids
(NGLs) and Sulphur. These products
are exchanged between ADNOC’ operating
companies and exported to
customers overseas.
H.E. Dr.Al Jaber highlighted, “Blockchain
is a game-changer. It will substantially
reduce our operating costs
by eliminating time-consuming and
labor-intensive processes, strengthen
the marketing and trading of our
products, and create long-term sustainable
value that will ensure that
For over 45 years, ADNOC has been
entrusted with Abu Dhabi’s oil and gas
resources and while we rightly celebrate our
past successes, we must also keep our eye firmly
on the future"
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