UAE: Agreements Signed to Invest in Petrochemical Projects

Business

December 16th, 11:20am

Abu Dhabi - Asharq Al-Awsat

Agreements to set up petrochemical projects in the UAE (WAM)

The Abu Dhabi Chemicals Derivatives Company RSC Ltd (TA’ZIZ) has signed investment agreements with eight United Arab Emirates-based investors. This marks the first domestic Public-Private Partnership (PPP) in Abu Dhabi’s downstream and petrochemicals sector. The agreements comprise commitments by the investors to invest in an up to 20 percent stake in a portfolio of chemicals projects worth AED15 billion ($4 billion) within the TA’ZIZ Industrial Chemicals Zone, alongside Abu Dhabi National Oil Company (ADNOC), ADQ, and other global strategic partners in Ruwais, Abu Dhabi. Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, said: "Through TA’ZIZ, our new domestic partners will have a stake in ongoing activities to enable additional domestic production of critical industrial raw materials, drive economic diversification and further grow the UAE’s advanced manufacturing base". He further welcomed “leading investors who are ready to partner with us on the development of a globally competitive chemicals and industrial hub". Mohamed Hassan Alsuwaidi, Chief Executive Officer of ADQ, stated that “the agreements reflect our aim to strengthen collaboration with the private sector. Sustainable industrial growth ensures that the UAE is well-positioned to attract foreign direct investment and grow its leadership across core sectors of the economy where ADQ is active. “Through our broad portfolio, we can unlock the investment potential of TA’ZIZ on a global scale, while remaining firmly committed to driving value creation and supporting the sustainable development of Abu Dhabi’s economy.” The development of the TA’ZIZ industrial hub is expected to benefit from ADNOC and ADQ’s world-class infrastructure and high-quality feedstock, as well as the support of MoIAT. ADNOC’s operations are a critical engine for industrial growth in the UAE, with competitive feedstocks available to catalyze the growth of industries and manufacturing supply chains. Similarly, ADQ is advancing economic clusters around essential sectors, ensuring they are part of global value chains, facilitating growth, and enabling private sector investment in the UAE’s economy. The TA’ZIZ Industrial Chemicals Zone has received significant interest from leading international and local investors alike. The local investor agreements follow an exclusive briefing for the UAE’s leading investors, held at the ADNOC Business Centre in Abu Dhabi in September. The event unveiled TA’ZIZ’s unique investment proposition and was hosted in partnership with MoIAT. Chemicals is a priority sector for "Operation 300bn", the UAE’s industrial growth strategy championed by MoIAT, which has the goal to raise the UAE industrial sector’s contribution to national gross domestic product (GDP) to AED300 billion ($72.3 billion) by 2031.

from Asharq AL-awsat https://english.aawsat.com/home/article/3362611/uae-agreements-signed-invest-petrochemical-projects