There are significant opportunities to boost collaboration between Indian and UAE companies in energy especially in the downstream sector, the UAE minister of industry and advanced technology and group chief executive of the Abu Dhabi National Oil Company (Adnoc) said.
“Today, Indian companies represent some of Abu Dhabi’s key concession and exploration partners," said Dr Sultan Ahmed Al Jaber during a virtual session with the Indian Prime Minister Narendra Modi, organised by NITI Aayog and India’s Ministry of Petroleum and Natural Gas.
"As we continue to work together, I see significant new opportunities for enhanced partnerships, particularly across our downstream portfolio,” he added.
The UAE has launched “an ambitious plan to expand its chemicals, petrochemicals, derivatives and industrial base in Abu Dhabi and I look forward to exploring partnerships with even more Indian companies across our hydrocarbon value chain”.
In the last two years, Adnoc has enhanced its strategic energy links with India – a key growth market for crude, refined and petrochemical products.
In addition to its partnership in the strategic reserves programme, Adnoc is also a stakeholder in one of India’s largest refinery and petrochemicals projects, to be constructed on the country’s west coast.
Indian companies have also increased their participation in the UAE’s energy sector. In March 2019, a consortium of two Indian oil companies were awarded the exploration rights for an onshore block in Abu Dhabi. This followed the award in February 2018 of a 10 per cent participating interest in Abu Dhabi’s offshore Lower Zakum concession to an Indian consortium of three companies.
“India’s remarkable growth as an economic power has cemented its place as one of the world’s largest energy consumers. In fact, it represents the second-biggest market for Adnoc,” Dr Al Jaber said. “This is a position we hope to build on, in line with the huge expansion of India’s ambitions for growth. Adnoc is ready to meet India’s growing demand across the full portfolio of our products.”
Adnoc plans to double its refining capacity and treble its petrochemicals capacity as part of a multibillion dollar drive to attract foreign direct investment into its downstream operations.
In July, the company formed a partnership with Abu Dhabi’s industrial holding company, ADQ, to develop a chemicals manufacturing hub at Ruwais, the site of its refining and chemicals activity.
