Strategic investment to be delivered by consortium of Orascom Construction and Metito
ADNOC and Abu Dhabi National Energy Company (TAQA) have successfully completed the financial closing of their US$ 2.2bn (AED 8.3bn) strategic project to provide sustainable water supply for ADNOC’s onshore operations.
This strategic investment between two Abu Dhabi energy giants entails developing and operating facilities to sustainably treat and supply seawater for ADNOC’s operations at the Bab and Bu Hasa fields in Abu Dhabi, furthering ADNOC’s efforts to decarbonize, transform and future proof its business.
A consortium comprised of Orascom Construction and Metito (the Consortium) will construct a centralized world-class seawater treatment facility and transportation and distribution network.
ADNOC and TAQA own a joint 51% majority stake (25.5% each) with the Consortium owning the remaining 49% stake in the project company, that will develop the project under a build, own, operate and transfer (BOOT) model, with the full project being transferred to ADNOC after 30 years of operation.
Consortium financing
The project will be financed by a group of nine local and international banks through a combination of commercial and Islamic finance facilities, according to a press communique.
“As we accelerate our transformational journey to a lower-carbon future, this innovative project will equip our onshore operations with energy-efficient water supply, significantly reducing our carbon footprint,” observed Abdulmunim Al Kindy, Upstream Executive Director, ADNOC.
In line with the objectives of ADNOC’s highly successful In-Country Value (ICV) program, more than 60% of the value of the project is expected to flow back into the UAE’s economy.
“TAQA is a partner of choice for industrial players seeking to decarbonize their operations through the provision of sustainable water and power solutions and investment in the critical infrastructure needed to enable net zero,” noted Jasim Husain Thabet, Group CEO and Managing Director, TAQA.
