UAE’s ADNOC inks deal with Chinese firm to explore sale of refined products
The Abu Dhabi National Oil Company (ADNOC) signed an agreement with China’s Rongsheng Petrochemical Co Ltd as the UAE’s state-owned oil company looks for new markets for its refined products and natural gas.
The deal includes the sale of refined products from ADNOC to Rongsheng and the supply of liquefied natural gas (LNG) to the Chinese company.
“The agreement covers domestic and international growth opportunities across a range of sectors, which have the potential to open new markets for our growing portfolio of products and attract investment to support our downstream and gas expansion plans,” ADNOC Chief Executive Sultan Al Jaber said in a statement.
Under the agreement, ADNOC will explore opportunities for increasing the volume of variety of refined products sales to Rongsheng. It also includes ADNOC partnering with Rongsheng for refinery and petrochemical opportunities, including an investment in the Chinese company’s downstream complex.
Rongsheng will also explore potential investments in ADNOC’s refinery and industrial complex in Ruwais, including a proposed Gasoline Aromatics Plant (GAP). The companies could also pursue an agreement for the supply of LNG to Rongsheng’s production plants in China.
ADNOC has previously announced plans to invest $45 billion to expand its refining and petrochemical operations in Ruwais, a city located 240 kilometers to Abu Dhabi’s west.