Abu Dhabi Producer Inks Deals With 25 Firms to Make Oilfield Components In-Country
Abu Dhabi National Oil Co, or ADNOC, has sought to fire up the United Arab Emirate’s industrial base after inking deals worth a potential US$9.5 billion with 25 local and international companies to manufacture oilfield products in-country.
The state-led energy and petrochemicals producer said the agreements set out the suppliers’ intention to make 21 key products in the UAE, including pressure vessels, compressors, pipeline inspection gauges, switchgears, specialist valves, industrial pumps, variable speed drives and flame and gas detectors.
The contracts could also see investments made in machining, reverse engineering and non-destructive testing equipment. Among the companies involved are Siemens, Halliburton, Celeros FT, Emerson, Proton and Schneider Electric.
“We are ready to work with investors and suppliers to enable them to set up, or expand, manufacturing in the UAE, and we invite local and business partners to grasp the significant opportunities this will create,” said Saleh Al Hashimi, commercial and in-country value director for ADNOC.
“We look forward to working with our partners to further support the growth and diversification of the UAE economy.”
ADNOC’s in-country value programme was launched in 2018 to spur opportunities for local suppliers and develop domestic manufacturing, and has driven about US$36 billion back into the economy, the company said.
The programme dovetails with the UAE’s “Make It in The Emirates” initiative, itself a cornerstone of the nation’s strategy to double the industrial sector’s GDP contribution from 133 billion dirhams to 300 billion dirhams by 2031.
Operation 300 billion, as the strategy has been dubbed, is zeroing in on a number of industries, including petrochemicals, plastics, renewable energy, machinery and equipment, metals, space technology, food, agriculture, pharmaceuticals and water desalination.
“Companies setting up in the UAE have access to reliable, cost-effective and sustainable energy supplies, including clean energy alternatives such as solar and hydrogen,” said Omar Ahmed Suwaina Al Suwaidi, undersecretary at the UAE’s Ministry of Industry and Advanced Technology.
“They can also take advantage of our strategic geographical location, world-class logistics infrastructure, access to key global markets and foreign ownership laws.”
ADNOC’s logistics arm, ADNOC Logistics and Services, will be exhibiting at Breakbulk Middle East 2023, taking place on 13-14 February at the Dubai World Trade Centre, Dubai.
PHOTO: ADNOC drilling rig at the giant offshore Upper Zakum oilfield. CREDIT: ADNOC
