Iran's actions in the Strait of Hormuz are not changing the strategy of Abu Dhabi's XRG, the global energy investment arm of Adnoc's chief investment officer said on Thursday.
Nameer Siddiqui, speaking at the Semafor's World Economy summit in Washington, was asked about the current market volatility stemming from the geopolitical situation with Iran as well as concerns about Tehran's attempt to control the Strait of Hormuz.
"We are all for the Strait of Hormuz to be opened up as soon as possible, and to be open to each and every country in the world, but having said that, this volatility doesn't change the way we think about investing," Mr Siddiqui explained, adding that XRG continues to look at commodity prices broadly through the lens of "normalised circumstances" rather than the value and cost of things in the short term.
"We're thinking about, 'Where is gas headed? Where are chemicals headed? Where are energy systems headed for the next 20 or 30 years?'"
XRG was launched in November 2024 as an international lower-carbon energy and chemicals investment company. It is focused on scalable energy solutions to help support artificial intelligence and industry.
The company has been expanding its operations globally and plans to double its asset value over the next decade, capitalising on the energy transition, AI advances and the rise of emerging economies.
During the Semafor event, Mr Siddiqui also said that XRG would continue to bolster its investments and plans in the US, particularly in the realm of natural gas.
"It's most important, and the reason is you have vast resources of natural gas, some of the largest in the world, and you have the demand for it as well," he said.
"We also use this supply to liquefy it, and then send it to other parts of the world that could benefit from the same resource and fuel."
He was also asked about how XRG is building a mentality of resilience amid a challenging geopolitical moment.
The XRG CIO said that the company had a solid foundation in that it has made sure to "diversify globally" and has doubled down on "being involved with the best assets, the biggest and most scalable resources".
On a broader level, he said that the UAE has led by example during the conflict with Iran, which has inspired XRG.
"I've only been there for three and a half months, and I saw the response," he said. "Given the dynamic of the last six or seven weeks, if there is a country which will be resilient, it's the UAE, and it's spectacular what they've done."
That mentality, he said, fits perfectly with energy and chemicals business.
"If you try to time the market in energy accounts, you're probably not going to end up on the right side," he said. "Having resilience and having a mindset which goes over decades is extremely important."
Mr Siddiqui began his role as chief investment officer at XRG in January of this year.
He previously served as a senior vice president for Phillips 66, a US-based energy company.
