ADNOC approves $6.2 billion investment to expand Umm Shaif gas production

ADNOC has announced a final investment decision (FID) worth $6.2 billion (AED22.6 billion) to develop the Umm Shaif Gas Cap, marking another major milestone in its integrated gas growth strategy. The project, undertaken with international partners TotalEnergies, Eni, and China National Petroleum Corporation (CNPC), is expected to significantly strengthen the UAE's energy security while supporting growing global demand for lower-carbon energy.

The development will unlock more than 600 million standard cubic feet per day (scfd) of natural gas and associated gas liquids, equivalent to nearly 10% of the UAE's current daily gas consumption, with production expected to begin by 2030.

As the country with the world's seventh-largest natural gas reserves, the UAE is expanding its gas production and liquefied natural gas (LNG) portfolio to meet rising domestic and international demand, while supporting the growth of industrial sectors and artificial intelligence infrastructure.

Commenting on the announcement, H.E. Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, said the investment reflects ADNOC's commitment to accelerating its integrated gas strategy and maximizing the value of the UAE's vast gas resources.

"The Umm Shaif Gas Cap FID is another important milestone in delivering this strategy and reinforcing ADNOC's position as a reliable gas supplier. Together with our international partners, we are building on decades of responsible stewardship of Abu Dhabi's longest-operating offshore field to unlock lasting value for the UAE and our customers," he said.

The investment includes three engineering, procurement and construction (EPC) contracts worth $5.1 billion (AED18.8 billion) for major offshore infrastructure, awarded to consortiums comprising UAE and international contractors.

In addition, ADNOC has awarded a $365 million (AED1.3 billion) drilling and integrated drilling services program to ADNOC Drilling, covering 14 new wells over an 18-month period using three existing offshore rigs.

The announcement follows the recent approval of the Bab Gas Cap concession by the Supreme Council for Financial and Economic Affairs, a project expected to unlock an additional 1.5 billion scfd of natural gas and associated liquids. It also builds on ADNOC's recently established global LNG marketing and trading platform at Abu Dhabi Global Market (ADGM), which aims to achieve a combined marketable LNG capacity of 47 million tonnes per annum by 2035.

The Umm Shaif Gas Cap project further reinforces ADNOC's long-term strategy of expanding gas production, strengthening the UAE's position as a reliable global energy supplier, and supporting the country's economic growth and energy transition ambitions.