Adnoc, Masdar sign deal on CCUS projects

Adnoc, Masdar sign deal on CCUS projects

Abu Dhabi National Oil Company (Adnoc) and Masdar on Sunday signed a joint venture agreement for carbon capture, usage and storage (CCUS) in the presence of Sheikh Hazza bin Zayed Al Nahyan, National Security Advisor, and Vice Chairman of Abu Dhabi Executive Council.

The joint venture agreement was signed at the Abu Dhabi International Petroleum Exhibition and Conference (Adipec). The joint venture’s first CCUS project consists of three core components. First, CO2 will be captured onsite at Emirates Steel, the UAE’s largest steelmaker’s facility. Second, the CO2 will be compressed and transported along the 50-km pipeline to oil fields operated by Adnoc. Third, Adnoc will inject the CO2 into oil fields to enhance oil recovery, while storing the injected CO2 underground. The project will sequester up to 800,000 tonnes of CO2 annually. Completion is set for 2016.

Commenting on the deal Dr. Sultan Ahmad Al Jaber, CEO of Masdar said, “The implementation of this technology is a demonstration of Masdar and Adnoc’s commitment to decarbonising the UAE’s growing economy.” “We are proud to be pioneering the use of CCUS technology in the region, a critical strategy to reduce global carbon emissions,” added Dr. Al Jaber. “We hope this project will serve as a proof of concept and encourage other hydrocarbon-rich nations to adopt similar technologies to reduce their carbon emissions.” Abdullah Nasser Al Suwaidi, Director General of Adnoc said, “The UAE is a responsible hydrocarbon producer. We believe CCUS has tremendous potential to both reduce our carbon footprint and enhance our oil and gas production. We are committed to finding and adopting real-world solutions that have economic and environmental returns.” “Adnoc has always been a pioneer. We have a tradition of applying cutting-edge, proven technologies to ensure sustainable supplies of hydrocarbons to local and international markets. By capturing, using and storing the CO2, we not only cut down on emissions, but add opportunities for increasing our oil and gas production, which can be sold internationally or used for domestic energy generation,” he added.

Source: WAM