Dubai (Reuters) – Abu Dhabi National Oil Company [ADNOC.UL] (ADNOC) said on Wednesday it had reached a final investment decision to develop the Habshan carbon capture project.
The carbon capture, utilisation and storage (CCUS) project will have the capacity to capture and permanently store 1.5 million metric tons of carbon dioxide a year, ADNOC said in a statement.
ADNOC brought forward its net zero carbon emissions target by five years to 2045 in July as the United Arab Emirates prepares to host a major U.N. climate conference in December.
The Habshan project will triple the state oil giant’s carbon capture capacity to 2.3 million metric tons per year.
The project will be built, operated and maintained by ADNOC Gas on behalf of ADNOC, the statement said.
“This landmark project, is one of many tangible initiatives that ADNOC is delivering as we accelerate our decarbonisation plan to meet our Net Zero by 2045 ambition,” Musabbeh Al Kaabi, ADNOC Executive Director of Low Carbon Solutions and International Growth, said.
It will include carbon capture units at the Habshan gas processing plant, pipeline infrastructure and a network of wells for carbon dioxide injection.
The UAE is hosting the United Nations COP28 climate summit, whose incoming president is ADNOC Chief Executive Sultan al-Jaber, at the end of the year.
The OPEC producer supplies nearly 3% of global oil, which is a major source of greenhouse gases.
ADNOC said in January it would allocate $15 billion to decarbonisation projects by 2030.
Reporting by Maha El Dahan and Clauda Tanios, Editing by Louise Heavens