Mon, Dec 30, 2024 | Jumada al-Aakhirah 29, 1446 | DXB ktweather icon0°C

UAE: Adnoc identifies Dh70 billion worth of products with local manufacturing potential

It signed agreements for opportunities worth Dh21 billion at the Make it in the Emirates Forum

Published: Tue 21 Jun 2022, 12:10 PM

Top Stories

Abu Dhabi National Oil Company (Adnoc) announced on Tuesday that it has identified Dh70 billion ($19 billion) worth of products in its procurement pipeline that could be manufactured locally.

Out of this value, Adnoc signed agreements for local manufacturing opportunities worth Dh21 billion ($5.7 billion) with UAE and international companies at the Make it in the Emirates Forum taking place in Abu Dhabi.

The agreements will see the companies set up and expand manufacturing facilities in the UAE as well as jointly explore with Adnoc the potential for new investments in local manufacturing.

The local manufacturing opportunities comprise of over 100 products which will be utilized across Adnoc’s full value chain as it expands its operations to cater for growing global energy demand.

Adnoc aims to purchase these products between 2022 and 2030 and is inviting the private sector to take advantage of this pipeline and invest in the UAE’s manufacturing sector to produce the products locally.

Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and Adnoc Managing Director and Group CEO, said: “Adnoc is reinforcing its role as a critical engine for the UAE’s industrial growth as we expand our operations to responsibly cater for the world’s growing energy demand. In line with the UAE leadership’s wise directives and our national industrial strategy, Adnoc is creating multiple long-term domestic manufacturing opportunities for the private sector, through our robust procurement pipeline. We invite local and international manufacturers to take advantage of these opportunities and join the UAE in our industrial growth journey as we strengthen the resilience of our supply chains, enhance economic self-sufficiency and deliver lasting value.”

The products identified with local manufacturing potential are spread over drilling; mechanical and heating ventilation and air-conditioning (HVAC); technology; piping, fittings and valves; electric submersible; instruments, control and telecom; maintenance, repair and operations; chemicals; electrical; and offshore architecture.

The signed agreements include a strategic collaboration agreement with India’s Intech Organics to explore manufacturing calcium and sodium bromide in the UAE for the first time; framework agreements with Schlumberger and Independent Technical Services (ITS) on local manufacturing and assembly of electric subemersible pumps and its components; a strategic collaboration agreement with MaxTube Saje for local manufacturing of glass reinforced epoxy (GRE) lining of various metallic tubular products including production tubing; a strategic collaboration agreement with NOV-Tuboscope on evaluating the localization of GRE-lined production tubing; and a strategic collaboration agreement with Soluforce on setting up local manufacturing facility for reinforced thermoplastic pipes and non-metallic solutions, amongst others.

Adnoc is also driving the UAE’s industrial growth through the expansion of its downstream business. The TA’ZIZ Industrial Chemicals Zone, Adnoc’s joint venture with ADQ, will produce new industrial chemicals in the UAE for the first time, replacing chemicals currently imported, while also exporting to meet growing demand for these chemicals globally. Adnoc has already welcomed major local and international partners and investors into the TA’ZIZ Industrial Chemicals Zone.

Building on this success, Adnoc signed expressions of interest with over 20 investors in the TA’ZIZ Light Industrial and Services Zones at the Make it in the Emirates Forum. The TA’ZIZ Light Industrial and Services Zones will house an ecosystem that will convert the chemicals produced in the TA’ZIZ Industrial Chemicals Zone into consumable products and host companies providing industrial services to TA’ZIZ and the Ruwais Industrial Complex.

The Make it in the Emirates Forum is hosted by the Ministry of Industry and Advanced Technology (MoIAT) in conjunction with the Abu Dhabi Department of Economic Development (ADDED) and Adnoc. The forum is bringing together the largest industrial companies from across the UAE to share their procurement plans and detail how these translate into local manufacturing and investment opportunities.

ALSO READ:



Next Story