KUALA LUMPUR, March 10 (Bernama) — Petronas inked two MoUs with United Arab Emirates-based Abu Dhabi National Oil Company (ADNOC) and Masdar to pursue collaborations across the energy value chain.
Discussions between the parties began following Malaysia’s King Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah’s five-day special visit to the UAE in December 2020.
Abu Dhabi Crown Prince Sheikh Mohamed Zayed Al Nahyan invited the Malaysian king for the visit. The resulting MoUs mark a significant milestone in the Malaysia-UAE bilateral relations.
The PETRONAS-ADNOC MoU spans the entire oil and gas value chain. ADNOC welcomes PETRONAS to seek opportunities in the UAE. Collaborations could expand to the exploration, development, and production of Abu Dhabi’s significant conventional and unconventional resources.
The scope extends into potential R&D and applied technology cooperation in:
Enhanced hydrocarbon recovery
Utilisation and storage
and hydrogen technologies
In the downstream sector, PETRONAS and ADNOC will explore cooperation in trading. This includes the supply of crude and feedstock and the offtake of refined products.
Both parties will also assess domestic and international opportunities to maximise value creation down the chain.
Another potential is in the area of fuel bunkering and in supporting LNG bunkering vessels at ports in the UAE and the region.
President and Group CEO Tengku Muhammad Taufik Tengku Aziz says, “The collaboration with ADNOC bears strong testimony to the shared vision of both organisations to pursue value creation through progressive and cleaner energy solutions.”
ADNOC Managing Director and Group CEO is Dr Sultan Ahmed Al Jaber.
H.E. Dr Al Jaber said: “We are very pleased to partner with PETRONAS for the first time through this important framework agreement. The agreement is a natural evolution of the strong ties between the UAE and Malaysia. It provides an opportunity to deepen the relationship through strategic energy cooperation.
“The agreement offers the potential for exciting opportunities for both companies to unlock and create value across the full oil and gas value chain. We see significant potential in this agreement and look forward to converting it into mutually beneficial partnerships.”
The MoU between PETRONAS and Masdar, a global leader in renewable energy, will see both companies build greater access to clean energy solutions.
Wholly owned by Mubadala Investment Company, Masdar will work with PETRONAS to pursue clean energy projects.
The collaboration allows both companies to have access to Asia and the Middle East. The projects they are looking into covers renewable energy and green hydrogen.
The partnership will also explore opportunities for joint production of green hydrogen. PETRONAS is gearing towards commercialising low-carbon hydrogen, which is a product from its existing facilities. It is pursuing commercial production of green hydrogen in the near future.