Abu Dhabi National Oil Company (ADNOC) has inked a series of agreements with companies in the Republic of Korea regarding low-carbon ammonia, LNG carrier shipbuilding, and LPG value chain.
ADNOC revealed the agreements on May 29 during the United Arab Emirates (UAE) President’s state visit to the Republic of Korea. Both UAE President Sheikh Mohamed bin Zayed Al Nahyan and Korean President Yoon Suk Yeol witnessed the signing of the agreements.
The new deals are part of the strategic partnership between the two countries in priority fields including economy and investment, conventional and clean energy, peaceful nuclear energy, defense and defense technology and cybersecurity, and other areas of mutual interest.
Specifically, ADNOC’s agreements include the development of low-carbon ammonia value chains with the company’s Korean counterparts. Together with KNOC, GS Energy, and Samsung E&A, ADNOC plans to explore the co-development of production and infrastructure in Abu Dhabi to supply the Korean market with low-carbon ammonia.
These plans come on the heels of ADNOC’s recent milestone of delivering the world’s first certified bulk commercial shipment of low-carbon ammonia enabled by carbon capture and storage (CCS) to Mitsui & Co. in Japan.
ADNOC’s low-carbon ammonia developments also include a 1 million tonnes per year (mtpa) facility at the TA’ZIZ Industrial Chemicals Zone . Construction of the facility is set to begin in the third quarter of 2024, with operations scheduled to commence in 2027.
In addition, ADNOC’s shipping and maritime logistics arm ADNOC L&S has signed letters of intent (LoIs) with Samsung Heavy Industries and Hanwha Ocean to construct up to 10 new LNG carriers, as part of the company’s investment in lower-carbon LNG portfolio to meet rising global demand.
The company has also inked a memorandum of understanding (MoU) with Hyosung to examine collaboration opportunities, including the LPG value chain.