Earlier this week, President His Highness Sheikh Mohamed bin Zayed Al Nahyan presided over the annual meeting of the ADNOC board of directors.
During the meeting, Sheikh Mohamed approved the launch of XRG, a lower-carbon energy and chemicals investment company to accelerate ADNOC’s international growth and drive greater value.
Here’s all you need to know about XRG:
- XRG is a groundbreaking international lower-carbon energy and chemicals investment company with an enterprise value of over $80 billion.
- It will formally commence activities in Q1 2025
- XRG aims to more than double its asset value over the next decade by capitalizing on demand for low-carbon energy and chemicals driven by three megatrends: the transformation of energy, exponential growth of AI, and the rise of emerging economies.
- The independently operated investment company will initially focus on developing three core strategic value platforms
- XRG’s Global Chemicals platform aims to be a top five global chemicals player, producing and delivering chemical and specialty products essential for modern life, to meet the projected 70 percent increase in global demand by 2050.
- XRG’s International Gas platform will build a world-scale integrated gas portfolio to help meet the anticipated 15 percent increase in global natural gas demand over the next decade, as a lower carbon transition fuel, as well as meet the expected 65 percent increase in demand for LNG by 2050.
- XRG’s Low-Carbon Energies platform will invest in the solutions needed to meet increasing demand for low carbon energies and decarbonization technologies to drive economic growth through the energy transition. The market for low carbon ammonia alone is expected to grow by between 70-90 million tonnes per annum by 2040, from close to zero now.
