ADNOC has announced a final investment decision (FID) to develop one of the largest carbon capture projects in the Middle East and North Africa (MENA) region
The pioneering Habshan carbon capture, utilisation and storage (CCUS) project will have the capacity to capture and permanently store 1.5 mn tonnes per annum (mtpa) of carbon dioxide (CO₂) within geological formations deep underground.
The announcement is part of ADNOC’s wider carbon management strategy, which aims to create a unique platform that connects all the sources of emissions and sequestration sites to accelerate the delivery of ADNOC and the UAE’s decarbonisation goals. As part of this strategy, the company is implementing several innovative, technology-driven pilot projects, including CO₂ mineralisation and full carbon sequestration in saline aquifers.
Using best-in-class technology, the project will triple ADNOC’s carbon capture capacity to 2.3 mtpa, equivalent to removing over 500,000 gasoline-powered cars from the road per year. The project, to be built, operated and maintained by ADNOC Gas on behalf of ADNOC, will include carbon capture units at the Habshan gas processing plant, pipeline infrastructure, and a network of wells for CO₂ injection. As part of ADNOC’s ongoing decarbonisation efforts, CO₂ will be permanently stored in reservoirs deep in the sub-surface through the deployment of closed-loop CO₂ capture and reinjection technology at the well site. The FID to develop the project fully aligns with ADNOC’s recently announced Net Zero by 2045 ambition and forms part of the company’s initial US$15bn decarbonisation investment in low carbon solutions.
Musabbeh Al Kaabi, ADNOC executive director of low carbon solutions and international growth, said, “The Intergovernmental Panel on Climate Change has stated that carbon capture and storage is a critical enabler for the world to achieve net zero by mid-century. This landmark project, is one of many tangible initiatives that ADNOC is delivering as we accelerate our decarbonisation plan to meet our Net Zero by 2045 ambition.
“As ADNOC continues its transformation towards a lower carbon future, it is our intention to make further investments to significantly reduce our emissions, including in carbon capture and storage, and push the boundaries of innovation and technology with our partners, to build on our world-leading legacy and industry leadership in carbon management."
ADNOC has placed sustainability at the heart of its long-term strategy. The company is decarbonising its operations while also investing in renewables and low carbon fuels, building a global hydrogen value chain, deploying innovative climate technology solutions, and advancing nature-based solutions such as planting mangroves in the UAE.
In 2016, ADNOC opened its first carbon capture, transportation and storage facility at Al Reyadah in Abu Dhabi. The facility has the capacity to process up to 800,000 tons of CO₂ per year captured at Emirates Steel Arkan. Building on Al Reyadah, the Habshan carbon capture project could provide for enhanced oil recovery of industry leading low carbon-intensity barrels as well as the production of low-carbon feedstocks such as hydrogen, to help customers decarbonise their operations.
ADNOC and Occidental are also working to assess potential investment opportunities in the UAE and the United States in both carbon capture and storage and direct air capture.
