Abu Dhabi's ADNOC sets up new trading unit

Company says it will introduce non-speculative trading to further maximise value from every barrel of crude oil
By Staff writer
Sat 12 May 2018 10:02 AM

Abu Dhabi National Oil Company (ADNOC) announced on Monday it is establishing a new trading unit within its Marketing, Sales and Trading Directorate.

The unit will introduce and manage non-speculative trading to further maximize value from every barrel of crude oil and refined product that is produced and marketed by the company, the company said in a statement.

Dr Sultan Ahmed Al Jaber, UAE Minister of State and ADNOC Group CEO, said: “As ADNOC grows and expands its upstream and downstream businesses, we will produce more products, and in turn, our Marketing, Sales and Trading function will play an even more critical role. Engaging in non-speculative trading will allow us to maximize value from our domestic and, over time, international downstream operations.

“By utilising the flexibility in our downstream production facilities, accessing market opportunities and optimising our supply chain, particularly to key growth markets, we aim to capture more value further along the value chain.”

ADNOC will set out the roadmap for its downstream growth strategy when it hosts its Downstream Investment Forum in Abu Dhabi next month.

“Looking out over the next two decades, we anticipate the sharpest growth within the energy sector will be petrochemicals, with demand forecast to climb 150 percent by 2040,” Al Jaber said. “To capitalize on this opportunity and make ADNOC more resilient against possible price volatility, our goal is to become a major global downstream player, creating a strong pull for our products, combined with the flexibility to respond quickly to shifting market needs.”

For all the latest energy and oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Last Updated: Sat 12 May 2018 10:08 AM GST

Subscribe to our Newsletter

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.