ADNOC and Borealis Sign Agreement to Extend and Expand Joint Petrochemical Activities in Ruwais

The Abu Dhabi National Oil Company (ADNOC) and Borealis have authorized a framework agreement, under which the companies will advance two key tasks that will certainly expand both ADNOC and Borealis downstream petrochemicals business and sustain the delivery of ADNOC's integrated smart development and partnership approach.

The agreement was signed by H.E. Dr. Sultan Ahmed Al Jaber, UAE Minister of State and Group CEO of ADNOC and Mark Garrett, Chief Executive.

Previously this month, ADNOC announced the growth of its strategic partnership design to extend the Group's whole worth chain along with the extra energetic monitoring of its profile of properties. This brand-new initiative builds on ADNOC's versatile operating design and its 2030 growth technique. It will certainly make it possible for ADNOC to unlock and optimize considerable value from across the Group, drive business and earnings development, maximize performance, enhance technology transfer, and safe better access for its products in key growth markets.

Under the arrangement, ADNOC and Borealis will certainly transfer to the pre-feed (front end engineering and design) stage for the construction of the Borouge 4 complicated, which encompasses a world-scale, blended feedstock biscuit, using existing feedstock offered in Abu Dhabi and downstream by-products devices for both polyolefin and non-polyolefin products. The recommended Borouge 4 complex is slated to find on stream around 2023 and will be incorporated with ADNOC's Takreer refinery.

Simultaneously, the companies have agreed to commence engineering, purchase and construction (EPC) tendering for an additional polypropylene plant (PP5) based upon Borealis' proprietary Borstar innovation. The plant, to be integrated with the existing Borouge 3 facility, will include worth to the surplus propylene readily available from Takreer's new Propane DeHydrogenation (PDH) unit, generating around 0.5 million tonnes per annum of polypropylene.

H.E. Dr. Sultan Jaber, Group CEO of ADNOC, said: "We are devoted to realizing downstream development and stretching the worth from every barrel of oil we produce. Today's contract with Borealis notes an essential landmark in 2 key tasks that sustain our smart growth and partnership approach.

" ADNOC is identified to work with similar companions, such as Borealis, as we open and produce long-term, lasting worth for the UAE. The Borouge four facility and polypropylene plant will certainly enable us to grow our current petrochemical production to virtually 10 million tonnes per year, allowing us to capitalize on the marketplace chances we have identified, specifically in Asia, where the high-grade polymer market is set to increase by 2040."

The Borouge joint endeavor was established in 1998 and production has gradually increase with the consecutive conclusions of the Borouge 1, 2 and 3 complexes. Today's production ability is 4.5 million tonnes annually following the successful startup of Borouge 3 in 2016. " ADNOC and Borealis have a lengthy and effective history of operating in close partnership at Borouge. Today we recommit our long-term interaction in Borouge and we expect embarking on the following phase of our trip with the expansion and expansion of the Borouge Joint Venture," stated Mark Garrett, Borealis Chief Executive.

" Global demand for polyolefin products is being driven by the development in emerging economies. Both ADNOC and Borealis are determined to take advantage of Borealis' leading edge Borstar technology, a world-leading product portfolio and a beneficial geographic place at the pivot point between East and West, to capitalise on the markets of steepest growth in Asia."

The framework agreement likewise identifies that ADNOC and Borealis will evaluate the expansion of their successful Borouge joint venture beyond its very first 30-year life time.

Structure new ability in the UAE makes certain the long-term security of supply and further allows Borouge to expand its item portfolio and deliver leading side products. With the tried and tested record of functional reliability of Borouge, the new properties will certainly support Borouge customers' growth passions in the vehicle and power markets in addition to in pipeline, agricultural movie and the rigid and versatile product packaging sectors.

As part of its 2030 method, ADNOC intends to broaden petrochemical production from the present 4.5 million tonnes per year to 11.4 million tonnes each year by 2025.

Regarding ADNOC
ADNOC is a significant diversified group of power and petrochemical companies, that produces around 3 million barrels of oil and 9.8 billion cubic feet of raw gas a day. Its incorporated upstream, midstream and downstream activities are performed by 16 professional subsidiary and joint venture companies. To find out more go to www.adnoc.ae For more information: media@adnoc.ae

About Borealis

Borealis is a leading service provider of innovative solutions in the areas of polyolefins, base chemicals and fertilizers. With its head office in Vienna, Austria, the company presently has around 6,600 workers and runs in over 120 countries. Borealis produced EUR 7.2 billion in sales income and an internet revenue of EUR 1,107 million in 2016. Mubadala, with its holding company, has 64% of the company, with the remaining 36% coming from Austria-based OMV, an integrated, worldwide oil and gas company. Borealis provides product and services to customers around the globe in partnership with Borouge, a joint endeavor with the Abu Dhabi National Oil Company (ADNOC). www.borealisgroup.com