Speaking at the Energy Intelligence Forum in London, ADNOC Managing Director and CEO and UAE Minister of Industry and Advanced Technology, Sultan Ahmed Al Jaber, has stressed the importance energy industry has in maintaining energy security.
He said that the market sentiment does not reflect the real underlying fundamentals, tight spare capacity and long term demand growth. Therefore, policies aimed at pulling the plug on the current energy system, before having built the new one, are misguided. He added for economic progress to be maintained, substantial investment is required in hydrocarbons, the energy source the world will rely on well into the future.
“We have seen that all progress starts and ends with energy security. And, as the world’s energy leaders, our responsibility in maintaining that energy security has never been more evident,” Al Jaber said. “Yes, we must all commit to mitigating the impact of global energy supplies, but let’s keep our focus on capturing carbon, not cancelling production. Let’s hold back emissions, not progress.”
Al Jaber went on to explain that partnership with the energy sector is critical to a successful energy transition. He noted that the energy transition represents the most complex, capital intensive project in human history and that no-one has more experience in delivering these kinds of projects than the energy industry.
“As COP27 approaches and the UAE prepares to host COP28, let’s advocate for an inclusive approach that takes advantage of the expertise of the people in the oil and gas industry. For the energy transition to succeed, the energy professionals need to be in the room, as equal partners alongside all other stakeholders,” he said.
Al Jaber said the UAE is keen to work with partners to mitigate the impact of hydrocarbons on the climate and build on its expertise as a responsible and reliable regional leader in low and no carbon energy.
ADNOC, he explained, is investing in greater production capacity of its signature crude, Murban, that has half the carbon intensity of the industry average and tripling its liquefied natural gas (LNG) capacity to over 15 million tonnes per annum, supported by a 9.6 million tonnes per annum LNG production and shipping terminal in the Emirate of Fujairah.
ADNOC is also using advanced technologies and renewable solar and nuclear energy to reduce the carbon intensity of its oil and gas by a further 25% before the end of the decade, while putting in place the building blocks for the hydrogen value chain, as well as expanding the use of carbon capture and storage.