The UAE’s emirate of Abu Dhabi has formed a new board of directors for Abu Dhabi National Oil Co. as the country’s biggest energy producer embarks on spending $122 billion through 2025 on projects, including an oil output capacity boost by 2030.
Sheikh Khalifa bin Zayed, the UAE president and Abu Dhabi ruler, issued a resolution to form the new board of ADNOC, which is chaired by crown prince Mohamed Bin Zayed, the Abu Dhabi government’s media office said Feb. 28 on Twitter.
The 10-member ADNOC board includes energy minister Suhail al-Mazrouei and ADNOC CEO Sultan al-Jaber, the media office said.
Jaber was also appointed managing director of ADNOC, according to the tweet. Mohamed bin Zayed, in his capacity as ADNOC board chairman, also issued a resolution to form the five-member executive committee of the board, chaired by Khaled bin Mohamed bin Zayed, the media office added.
In December, Khalifa issued a resolution establishing Abu Dhabi’s Supreme Council for Financial and Economic Affairs, which merged the Supreme Petroleum Council into its fold.
The SPC, which was established in 1988 as the emirate’s highest energy decision-making body, used to function as ADNOC’s board until its merger with the newly-formed economic council.
Abu Dhabi, the oil-rich emirate in the seven-member UAE federation, is moving ahead with a major oil production capacity boost despite the dip in oil prices and the pandemic.
Before its merger with the new economic body, the SPC in November approved plans for ADNOC to spend $122 billion between 2021 and 2025 on growth projects, including ramping up production capacity to 5 million b/d by 2030 from over 4 million b/d now.
Although the new capex is 10% lower than the $132 billion that was supposed to be spent between 2019 and 2023, it is still higher than that of several international oil companies, which are slashing their spending plans amid the low oil prices and energy transition goals.
SPC also announced in November the discovery of 22 billion stock tank barrels of recoverable unconventional onshore oil resources that ADNOC said had production potential on par with the most prolific North American shale plays.
Additionally, 2 billion STB in recoverable conventional oil reserves was announced, boosting the UAE’s recoverable conventional oil reserves to 107 billion STB, ADNOC said at the time.