Adnoc Gas expects up to 80 per cent of processing capacity at the Habshan complex to be restored by the end of the year, after the facility was damaged during Iran's attacks on the UAE.
Operations at Habshan, one of the world’s largest gas processing sites, were suspended in early April after it faced damages during the war. One person was killed and four were injured after falling shrapnel from intercepted Iranian attacks caused two fires at the complex on April 3. The company reported "significant damage" at the time. The site in Abu Dhabi faced another incident on April 8.
"Within a short period, 60 per cent of the complex’s processing capacity was restored and the company is currently working towards achieving 80 per cent restoration by the end of 2026, with full capacity restored in 2027," Adnoc Gas said in a statement on Tuesday to the Abu Dhabi Securities Exchange, where its shares trade.
Habshan has five plants, 14 processing trains and a capacity of 6.1 billion standard cubic feet per day. The company said it was working on a detailed technical assessment of the attacks.
"Although some processing trains at Habshan remain offline, overall supply across the Adnoc Gas network has been substantially restored, allowing the company to continue meeting domestic customer demand through its broader infrastructure," it added.
Adnoc Gas reported net profit of nearly $1.1 billion for the first quarter, down about 15 per cent annually owing to the "increased regional uncertainty and difficult market conditions, which have caused major disruption in the energy sector and to maritime movements through the Strait of Hormuz".
Revenue during the period reached $4 billion, down from $4.66 billion during the same period a year ago, the company said on Tuesday.
“This quarter was shaped by exceptional external disruption and our priorities were clear: protect our people and assets, maintain safe domestic supply and protect shareholder value through disciplined execution," said Fatema Al Nuaimi, chief executive of Adnoc Gas. “As we manage the disruption to maritime movements through the Strait of Hormuz, the long-term foundations of Adnoc Gas remain intact."
Iran launched attacks on energy infrastructure across the Middle East after war broke out with the US and Israel on February 28. Energy sites across the region, including in the UAE, Saudi Arabia, Iraq, Bahrain and Qatar, were attacked by Tehran, with missile strikes on Qatar knocking out about 17 per cent of its LNG export capacity.
Meanwhile, the strait, through which about 20 per cent of the world's oil and gas normally passes, has been effectively blocked since the war began, leading to a global energy crisis.
"While commodity prices rose significantly, disruption to maritime movements through the Strait of Hormuz continues to impact liftings of Adnoc Gas products," the company said on Tuesday.
Adnoc Gas said it was working with customers and partners on a transaction-by-transaction basis to fulfil commitments wherever possible.
"The ongoing closure of the Strait of Hormuz is expected to affect Adnoc Gas’ Q2 net income, with projections indicating a range between $400 million and $600 million, assuming maritime operations return to normal prior to the end of the quarter," it said.
On the assumption the strait is open for the second half of 2026, higher prices of liquefied natural gas and liquefied petroleum gas, in line with the current Brent forward curve, are expected to "help offset deferred volumes", it added.
Adnoc Gas anticipates full-year 2026 net income to range from $3.5 billion to $4 billion. The company, which aims for a 30 per cent increase in processing capacity in the next four years, also remains bullish about demand growth in the UAE, supported by industrial expansion.
"Phase 1 of the Rich Gas development project is expected to further ease bottlenecks and enable Adnoc Gas to take advantage of increased upstream associated gas output following the recent lifting of production constraints," it said.
The UAE, the world's seventh-largest oil producer, withdrew from Opec on May 1. The departure came at a time of mounting pressure for the group of producers and the expanded Opec+ as members confront a historic supply shock and internal compliance issues.
