The use of an executive committee is usually to expedite decision making and maintain oversight over the day to day management on a regular basis. In Adnoc’s case, the formation of the board and committee could be an indication of plans to increase activity, one UAE-based consultant said.
The board of directors will be chaired by Sheikh Mohammad, but also includes his son, Sheikh Khalid bin Mohammad, as well as his full brothers, Hazza bin Zayed and Mansour bin Zayed.
Sultan al-Jaber, Adnoc’s current CEO, is also represented on the committee, alongside Khaldoon al-Mubarak, the CEO of sovereign wealth fund Mubadala. Al-Jaber, who is also the UAE’s minister of industry and advanced technology, was named the company’s managing director in a separate decree. He retains his position as chief executive officer.
UAE minister of energy and infrastructure Suhail al-Mazrouei is also on the board, as well as secretary general of Abu Dhabi Executive Council Ahmed al-Mazrouei, Adnoc chief financial officer Jassem al-Zaabi, minister of state and chairman of Abu Dhabi Global Market Ahmed al-Sayegh and chairman of Abu Dhabi Department of Energy Awaidha al-Marar.
The new Adnoc executive committee will be chaired by Sheikh Khaled, and also includes al-Jaber, Mubarak, Zaabi, Mazreoui and al-Sayegh.
Adnoc previously reported to the Supreme Petroleum Council (SPC), which was merged into a new entity, the Supreme Council for Financial and Economic Affairs(SCFE) in late-December to oversee the emirate’s overall economic affairs, including the management of oil and gas resources. The SCFE is chaired by UAE president Khalifa bin Zayed al-Nahyan, while Sheikh Mohammed is the vice chairman. The ill health of the president, however, has left Mohammed bin Zayed as the de facto ruler of Abu Dhabi.
The SPC would oversee the work of state-owned Adnoc, including setting its budgets and approving contracts with international oil companies such as BP, Total and China’s CNPC. Adnoc’s latest capital spending plan for the next five years, stands at $122bn, as it works to boost long-term production capacity to 5mn b/d by 2030 from around 4mn b/d currently. Abu Dhabi also hopes to develop new technically challenging gas resources that would enable the UAE to transition from a net gas importer to an exporter and pursue gas-to-chemicals growth opportunities.
