ADNOC and the State Oil Company of Azerbaijan Republic (SOCAR) has announced a strategic collaboration agreement (SCA) that aims to develop low-carbon energy technologies.
“Through this agreement, ADNOC and SOCAR will leverage our combined knowledge, experience, and expertise to advance promising hydrogen, carbon management, and geothermal technologies that could make a tangible difference as the world takes bold steps to decarbonize energy value chains,” said Musabbeh Al Kaabi, ADNOC Executive Director, Low Carbon Solutions, and International Growth.
The SCA builds on the strategic bilateral energy cooperation between the UAE and Azerbaijan, including ADNOC’s 30% stake in the Absheron gas and condensate fields in the Azerbaijan sector of the Caspian Sea. It also builds on ADNOC’s shareholding in Abu Dhabi Future Energy Company (Masdar). Recently, Masdar inaugurated the 230 MW Garadagh Solar Park in Azerbaijan, the largest operational solar park in the region.
“This collaboration signifies our collective pursuit of a greener future, leveraging our combined expertise for sustainable energy practices. This partnership highlights our unwavering commitment to advancing the energy transition and reinforces the strong bilateral ties between SOCAR and ADNOC,” said Afgan Isayev, SOCAR Vice President for Energy Transition, Environment, and Decarbonization.
The SCA follows both ADNOC and SOCAR becoming founding signatories of the Oil and Gas Decarbonization Charter, signed at COP28, that sets shared targets to eliminate routine flaring and zero out methane emissions by 2030 and achieve net zero by 2050.
ADNOC has allocated $15 billion (AED55 billion) to advance and accelerate lower-carbon solutions, new energies, and decarbonization technologies. This investment is part of their goal to reduce carbon intensity by 25% by 2030 and achieve net zero by 2045.
Additionally, ADNOC is targeting a carbon dioxide (CO2) capture capacity of 10 million tons per year (mtpa) by 2030. In a recent announcement, ADNOC successfully started up geothermal district cooling in Masdar City, the first project in the Gulf region to harness geothermal energy.