Abu Dhabi National Oil Company (Adnoc) plans to scale up its oil production target by 400,000 barrels per day (bpd) to 3.5 million bpd in 2018, according to the company’s 2030 strategy.
The strategy was approved on Wednesday by HH Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces and Vice-Chairman of the Supreme Petroleum Council (SPC).
The council formulates and oversees the implementation of Abu Dhabi’s petroleum policy and follows up its implementation across all areas of the petroleum industry to ensure that the set goals are accomplished, news agency WAM reported.
The company produces over 3.15 million barrels of oil per day and 9.8 billion cubic feet of raw gas per day, according to its website. In 2015, it had planned to achieve the 3.5 million bpd target in 2017.
Under the new strategy, the company plans to more than double its petrochemical production from 4.5 million tonnes per annum (mtpa) in 2016 to 11.4 mtpa by 2025 and will add polyolefin capacity and new petrochemical products.
The company will also increase sour gas production over the next decade, making Abu Dhabi one of the world’s largest sulphur producer. It will work with key phosphate markets to support development of local sulphur products industry including existing ammonia and urea industry.
The strategy also includes ensuring “economical and sustainable” gas supplies, as part of its fully integrated gas master plan as it works to set up a gas price restructuring exercise to set a competitive price for its gas.
Sheikh Mohamed said Adnoc’s new strategy and sound five-year business plan will enable it to maximise value by leveraging synergies, implementing efficiencies, and making targeted investments in new growth opportunities.
He added the strategy will build on the foundations laid in the past eight months, during which Adnoc embarked on a journey to evolve into a more agile and resilient company that is strategic, commercially minded and performance driven.
Dr. Sultan bin Ahmad Sultan Al Jaber, Minister of State and Chief Executive Officer of Adnoc Group said: “We will make strategic, commercially viable and targeted investments aimed at building on our legacy of success and ensuring our continued growth. In parallel, we will maintain our efforts to improve the organisation’s efficiencies and identify opportunities to further optimise our value chain.
“We will ensure the oil and gas needs of our domestic and international customers are met and also enhance our downstream and petrochemical businesses, to take advantage of growing demand for higher value products. Our ultimate goal is for Adnoc to remain a key contributor to the UAE economy and a leading player in advancing the industry.”
The Organisation of the Petroleum Exporting Countries (OPEC), which agreed in September this year to cut output to between 32.5 and 33 million bpd, will meet in Vienna on November 30 to set the production cut quota for each country.
Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.