Home / Business / Oil and gas still vital to economic growth in latest industrial age, say ADNOC CEO

Oil and gas still vital to economic growth in latest industrial age, say ADNOC CEO

The global oil and gas will be a critical enabler of economic growth in the 4th Industrial Age, according to Dr. Sultan bin Ahmad Al Jaber, Minister of State and Group CEO of the Abu Dhabi National Oil Company (ADNOC).

Delivering the opening keynote address, today at the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC), one of the world’s leading oil and gas conferences and exhibitions, Dr. Al Jaber said the world is on the verge of an era of unprecedented prosperity. This will be driven, he said, by rapid advances in technology and a global middle class, which will grow to five billion people by 2030, creating greater demand for energy and products derived from oil and gas.

“We are at the cusp of a new age of opportunity for our industry- an era where digital innovation is delivering unprecedented levels of progress,” Dr. Al Jaber told the audience of government ministers, industry CEOs, policy makers and decision makers. “This era, known as the Fourth Industrial Age, is creating a paradigm shift in global growth and driving demand for our products. Our industry must step up to enable this massive step change in global development.

“In short,” Dr. Al Jaber added, “this mission can be given a simple name – Oil and Gas 4.0.”

He said ADNOC recognises that to fulfill the mission of Oil and Gas 4.0, it must leverage all its resources, its partnerships and, in particular, the latest technologies, if it is to continue to thrive and deliver on the ambitious strategic objectives of its 2030 smart growth strategy.

Over the last two and half years, Dr. Al Jaber said, ADNOC has consolidated its businesses and unified its brand identify, entered the global capital markets for the first time, launched the first ever IPO of an ADNOC business, opened-up its concessions to new strategic partners, competitively tendered new exploration blocks, embarked on a comprehensive digital transformation, taken its first steps to expand internationally and most recently, closed a strategic equity partnership between Baker Hughes and ADNOC Drilling.

“All this is only the start of a new era at ADNOC,” he said, adding that ADNOC is continuing to put in place the building blocks which would allow it to seize the opportunities created by Oil and Gas 4.0, noting the strategic oil and gas announcements, made recently by Abu Dhabi’s Supreme Petroleum Council (SPC) which will see ADNOC increase its oil production capacity to 4 million barrels per day (mmbpd) by 2020, and to 5mmbpd, by 2030 to meet growing global demand. In addition ADNOC will develop its vast untapped gas resources.

“As we set out to meet these ambitious goals, we will access our undeveloped reservoirs, tap into our gas caps and further capitalise on our sour gas. Today we are able to make this happen by thinking outside the box, leveraging technology and reframing our business model. This has finally unlocked the commercial formula that will enable the UAE to attain self-sufficiency and transition to becoming a net exporter of natural gas,” Al Jaber added.

“We are also taking steps, never taken before, to realise our comprehensive gas strategy. For the first time, we will jointly develop our unconventional fields in a concession partnership with Total. In addition, our strategy will ensure we remain a reliable supplier of LNG well into the future.”

The ADNOC CEO added, “While advances in technology are impacting every industry, it is time for us to focus our attention on how it can advance our industry. At ADNOC, we believe technology can enhance our operational efficiency, drive performance, maximise profitability and empower our people.”

ADNOC, he said, is applying Artificial Intelligence and the science of predictive analytics to significantly reduce maintenance costs and building out its state-of-the-art Panorama Digital Command Centre to mine for, monitor and measure terabytes of information across its operations. Yet, ADNOC is only scratching the surface of how technology can transform its potential, he declared.

“Our ambition is to extend technology’s power across our entire value chain from drilling platforms to trading platforms,” Dr Al Jaber said. “By embedding innovation into every aspect of our business, we are determined to make ADNOC the destination of choice for a highly skilled, digitally native workforce and a home for the best and the brightest of our young people.”

Dr. Sultan also emphasised the importance of ADNOC’s downstream expansion. “This expansion capitalises on our high-grade feedstock, proximity to growth markets and best in class logistics to create an integrated plug and play ecosystem, an ecosystem where I invite partners to invest and grow alongside ADNOC as we continue on our journey to diversify the UAE’s economy, enable in-country value and support GDP growth,” he said.

Following the speech, a special ministerial panel discussion took place, focused on ‘Reshaping markets: continuing the global energy discussion’, with the participation of Suhail Al Mazrouei, UAE Minister of Energy and Industry; Khalid Al Falih, Saudi Minister of Energy, Industry and Mineral Resources; Alexander Novak, Russian Minister of Energy, and Mohamnmad Barkindo, Secretary General of the Organisation of Petroleum Exporting Countries (OPEC).

Hosting more than 80 ministers, CEOs, and global oil and gas business leaders as speakers, ADIPEC has convened the companies, decision and policy makers that shape the future of oil and gas supply, for four days of focused business, dialogue and knowledge transfer that addresses today’s energy challenges and defines tomorrow’s hydrocarbon landscape.

ADIPEC’s international technical and strategic conference spans 200 sessions, with 980 expert speakers and over 10,400 delegates. The technical conference programme, organised in collaboration with the Society of Petroleum Engineers (SPE), sets the international standard for the exchange of best-practice and operational excellence in the world of energy, with all technical abstract submissions put through a rigorous evaluation process by the Technical Programme Committee. Sessions cover upstream, midstream and downstream sectors, including specialised programme such as offshore and marine.

Alongside the conference are the landmark ADIPEC exhibition areas, underpinning the event’s status as a premier showcase for suppliers and customers across the oil and gas industry. For 2018, ADIPEC has attracted more than 2,200 exhibiting companies, including 38 NOCs and IOCs, and 30 international country pavilions.

Source: WAM

Total Page Visits: 175 - Today Page Visits: 1

Check Also

Russian hackers interfering with US presidential elections

The group of Russian hackers accused of meddling in the 2016 U.S. presidential election earlier …

Leave a Reply

Your email address will not be published. Required fields are marked *