ADNOC secures $2 billion K-SURE green financing to fund low-carbon projects

Dubai: ADNOC has secured a new $2 billion green financing facility backed by Korea Trade Insurance Corporation, taking its total green funding to $5 billion within just 18 months and underscoring how seriously the company is leaning into sustainable finance as it grows its business.

Under the new agreement, ADNOC has signed a $2 billion (Dh7.34 billion) green financing facility backed by Korea Trade Insurance Corporation to support lower-carbon projects across its portfolio. The deal was announced during a visit to South Korea by Dr Sultan Al Jaber, Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, where he met K-SURE President and Chairman Youngjin Jang to cement the partnership.

The facility is structured under ADNOC’s Sustainable Finance Framework, meaning proceeds will be directed to projects that meet defined environmental criteria and comply with recognised sustainable finance standards. Sustainable Fitch has issued an independent Second Party Opinion confirming that ADNOC’s framework aligns with global sustainable finance principles, a key step in giving lenders confidence that the funds are being used as promised.

Part of a fast-growing green finance pool

This is ADNOC’s first green facility backed by a Korean export credit agency and follows a $3 billion (Dh11 billion) deal closed in 2024 with the Japan Bank for International Cooperation. Taken together, the JBIC transaction and the new K-SURE facility lift ADNOC’s total green funding to $5 billion (Dh18.35 billion) in just a year and a half, building a track record that will matter as the company returns to sustainable debt markets in future.

Khaled Al Zaabi, ADNOC Group Chief Financial Officer, said, “Through our partnership with K-SURE, we are expanding access to green finance, deepening our economic ties with South Korea and strengthening ADNOC’s position as a leader in lower carbon energy.” First Abu Dhabi Bank is acting as Green Loan Coordinator, while Santander is the export credit agency coordinator on the transaction.

Linking funding to decarbonisation targets

ADNOC positions itself as one of the least carbon‑intensive oil and gas producers globally and has pledged to cut its operational carbon emissions intensity by 25% by 2030. To support that, the company is investing about $23 billion (Dh84.4 billion) in decarbonising its operations and accelerating new energy businesses in areas such as hydrogen, geothermal and renewables.

The green facility is expected to channel capital toward these types of initiatives, including lower‑carbon infrastructure and technologies that directly reduce emissions from ADNOC’s core operations. By using an ECA‑backed structure with K‑SURE, ADNOC can access competitively priced funding while still retaining flexibility in how it phases its portfolio of qualifying projects.