ADNOC, Occidental to evaluate carbon management projects in UAE, US
Abu Dhabi National Oil Company (ADNOC) and Occidental have inked a strategic collaboration agreement (SCA) to evaluate potential investment opportunities in carbon dioxide capture and storage (CCS) hubs in the UAE and the US, the companies announced on August 1.
Enabled by the UAE-US Partnership for Accelerating Clean Energy (PACE), launched in late 2022, the collaborative venture aims to catalyse $100bn in clean energy and carbon management projects, encompassing essential CCS and direct air capture (DAC) initiatives, by 2035.
ADNOC and Occidental are presently evaluating the potential development of DAC facilities in the UAE, including what could be the first megaton DAC project constructed outside of the US.
Moreover, the collaboration explores the joint development of carbon management hubs within the UAE, which would offer carbon capture services and necessary infrastructure to securely transport CO2 from carbon-intensive and hard-to-abate sectors for permanent storage in Abu Dhabi's ideal geological formations.
Under the terms of the SCA, ADNOC will also explore participation in multiple DAC and CO2 sequestration hubs currently under development by Occidental's subsidiary, 1PointFive, particularly the Stratos DAC project in Texas, projected to capture 500,000 tonnes/year of CO2 once fully operational.