Adnoc, Linde form gas venture
Posted: 24 December 2007
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German gas-engineering firm The Linde Group, has set up a joint venture with state-owned Abu Dhabi National Oil Corporation (Adnoc) for the production and long-term supply of industrial gases to customers in Abu Dhabi , the group has announced.
Adnoc Linde Industrial Gases Company Limited is established under the name 'Elixier' and will have Adnoc (51%) and Linde (49%) as shareholders.
The first phase of the new Elixier JV will be the construction of a Dh 238.7 million ($65 million) air separation plant in the Industrial Zone of Ruwais, Abu Dhabi .
The new air separation plant will supply nitrogen from the end of 2009 to industrial customers in Ruwais and will also produce liquefied nitrogen and oxygen.
“This joint venture is of major strategic importance to us and is the logical expansion of the previous collaboration of our Engineering Division with Adnoc in the petrochemical industry,” said Dr Aldo Belloni, a member of Linde AG's Executive Board.
Adnoc has access to around 90% of Abu Dhabi ’s oil and gas reserves, which are considered to be the fourth largest oil and gas reserves in the world.
Adnoc is also the majority shareholder in the joint venture company Borouge, which produces polyethylene in Ruwais.
In November 2006, when Borouge was seeking to expand its production facilities, Linde was awarded a major contract to build one of the largest ethylene crackers in the world, with a production capacity of 1,500,000 tonnes of ethylene per annum.
The huge natural gas reserves in the United Arab Emirates are being exploited by Adnoc both on and offshore and are not only being exported in the form of liquefied natural gas (LNG), but are also being used to meet local energy requirements and to supply various industries. |
