SEATTLE (Oil Monster): Abu Dhabi National Oil Company (ADNOC) has approved a $6.2 billion investment to develop the Umm Shaif Gas Cap, a major offshore natural gas project that is expected to strengthen the United Arab Emirates' energy security and expand its liquefied natural gas (LNG) export capacity. Production from the field is targeted to begin by 2030.
The project forms part of ADNOC's long-term strategy to increase gas production. It also comes at a time when ongoing tensions in the Middle East and disruptions around the Strait of Hormuz have raised concerns about the reliability of global energy supplies.
ALSO READ:
ADNOC L&S expands LNG fleet with $900m order for four carriers
ADNOC Establishes a New Worldwide Marketing and Trading Hub for LNG
The Umm Shaif offshore field, one of Abu Dhabi's oldest producing assets, will be developed in partnership with TotalEnergies, Eni and China National Petroleum Corporation. Once operational, the project is expected to produce more than 600 million standard cubic feet of natural gas per day, along with associated gas liquids. The new output will account for nearly 10% of the UAE's current daily gas consumption.
ADNOC said the investment supports its integrated gas strategy, which aims to increase LNG production capacity to 47 million metric tons per year by 2035. The initiative is also expected to improve the country's long-term energy resilience.
