Make it in the Emirates
ADNOC is undertaking major off- and onshore exploration and other works. All of these programmes will in turn support local sourcing of its procurement needs. Image Credit: Supplied

Abu Dhabi: The energy giant ADNOC has homed in on Dh70 billion worth of products within its procurement needs that can be manufactured in the UAE. The announcement comes as ‘Make it in the Emirates’ programme gains vital traction.

Out of the projected Dh70 billion, ADNOC has signed agreements for local manufacturing opportunities worth Dh21 billion with UAE and international companies at the Make it in the Emirates Forum in Abu Dhabi. The agreements will see companies set up and expand manufacturing facilities in the UAE as well as ‘jointly explore with ADNOC the potential for new investments in local manufacturing’.

The products identified with local manufacturing potential cover drilling; mechanical and heating ventilation and airconditioning (HVAC); piping, fittings and valves; electric submersibles; instruments, control and telecom; maintenance, repair and operations; chemicals; electrical; and offshore architecture.

"ADNOC is creating multiple long-term domestic manufacturing opportunities for the private sector, through our robust procurement pipeline," said Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO. "We invite local and international manufacturers to take advantage of these opportunities and join the UAE in our industrial growth journey as we strengthen the resilience of our supply chains, enhance economic self-sufficiency and deliver lasting value."

The signed agreements include:

1. A strategic collaboration agreement with India’s Intech Organics to explore manufacturing calcium and sodium bromide in the UAE for the first time.

2. Framework agreements with Schlumberger and Independent Technical Services (ITS) on local manufacturing and assembly of electric subemersible pumps and its components.

3. An agreement with MaxTube Saje for local manufacturing of glass reinforced epoxy (GRE) lining of various metallic tubular products including production tubing.

4. Another with NOV-Tuboscope on evaluating the localization of GRE-lined production tubing.

5. There is also one with Soluforce on setting up local manufacturing facility for reinforced thermoplastic pipes and non-metallic solutions, amongst others.

ADNOC is also driving the UAE’s industrial growth through the expansion of its downstream business. The TA’ZIZ Industrial Chemicals Zone - a JV with ADQ - will produce new industrial chemicals in the UAE for the first time, replacing chemicals currently imported.

Expressions of interest were signed with over 20 investors in the Ta’ziz Light Industrial and Services Zones at the Make it in the Emirates Forum. 

Purchases between now and 2030
ADNOC reckons that local manufacturing opportunities can cover more than 100 products, which will be utilized across its 'full value chain' as it expands its operations to cater for growing global energy demand.

The Abu Dhabi company aims to purchase these products between 2022-30 and is 'inviting the private sector to take advantage of this pipeline and invest in the UAE’s manufacturing sector to produce the products locally'.