Abu Dhabi's Ta'ziz has raised $1.39 billion for two projects in Ruwais, with both transactions oversubscribed as the emirate's industrial growth strategy progresses.
The terminal project raised more than $928 million, including $225 million of Islamic financing, while over $460 million has been raised for the ammonia project, the company said in a statement on Wednesday.
The terminal project, a joint venture between Adnoc and Advario Star Energy, will serve as the primary logistics gateway for the Ta'ziz Industrial Chemicals Zone.
It will provide liquid chemical storage capacity and export capabilities to regional and international markets.
Meanwhile, the ammonia project, a joint venture between Ta'ziz, Fertiglobe, Mitsui and GS Energy, is developing one of the largest ammonia production facilities in the region, with a capacity of one million tonnes per annum.
Set up in 2020 as a joint venture between Adnoc and Abu Dhabi's investment and holding company ADQ, Ta'ziz is a manufacturing, industrial services, logistics and utilities company that supports the production of chemicals and transition fuels.
It plays a vital role in supporting Adnoc's plans to become a top three global chemicals player and of Abu Dhabi’s industrial growth strategy.
The Ta'ziz industrial zone is set to produce 4.7 mtpa of chemicals, including low‑carbon ammonia, methanol and PVC, once the first phase is completed at the end of 2028.
The latest transactions follow the $2 billion financing secured in April by Ta'ziz for its methanol project.
“Securing more than $3.39 billion, including the methanol financing announced in April ... demonstrates the strong confidence that international investors and lenders have in Ta'ziz, our partners, and Abu Dhabi’s long-term industrial vision,” said Mashal Al Kindi, Ta'ziz chief executive and chairman of both projects.
“These projects will play a critical role in establishing a globally competitive chemicals and industrial ecosystem in Ruwais while supporting the UAE’s economic diversification objectives.”
Both the ammonia and terminal projects are progressing, Ta'ziz said.
The engineering, procurement and construction (EPC) works for the ammonia project, awarded to Tecnimont, are more than 90 per cent complete and the EPC works for the terminal project, awarded to Rotary Engineering, are around 70 per cent complete.
“The 1 mtpa [ammonia] facility is well advanced, and this financing underpins the final phase of delivery,” said Ahmed El Hoshy, chief executive of Fertiglobe.
Japan's MUFG acted as financial adviser on the terminal financing, bringing nine regional and international banks on a long-term non-recourse deal.
Sumitomo Mitsui Banking Corporation was the exclusive financial adviser for the ammonia financing, with participation from seven banks from China, Kuwait, Spain and Singapore for a six-year term facility.
The first phase of the Ta'ziz ecosystem is expected to contribute $50 billion to the UAE economy, creating 20,000 construction jobs and 6,000 operational roles, the company said.
In May, Ta'ziz also signed a deal with investment conglomerate Alpha Dhabi, aiming for $10 billion in capital investment in its new industrial chemicals ecosystem.
