ADNOC Claims Industry First



ADNOC Claims Industry First
ADNOC's gas processing plant. IMAGE SOURCE: ADNOC

Calling the move unprecedented, Abu Dhabi National Oil Co. (ADNOC) reported Tuesday that it has safely completed the first co-loading of liquefied petroleum gas (LPG) and propylene onto the same vessel. The products are typically shipped separately.

According to ADNOC, successfully loading approximately 12,600 metric tons of propylene and 33,000 metric tons of LPG onto a single vessel – docked in Ruwais, UAE – significantly cut shipping costs. Each year, ADNOC Gas Processing produces up to 10.5 million metric tons of LPG and ADNOC Refining produces up to 1.7 million metric tons of propylene, the company stated.

“This pioneering procedure, the first of its kind in our industry, has the potential to generate significant value for ADNOC,” Abdulla Salem Al Dhaheri, ADNOC’s director of marketing, sales and trading, said in a written statement emailed to Rigzone. “Shipping costs, or freight rates as they are more commonly referred to, constitute a significant amount when delivering a product to customers and end-users. By co-loading product that is bound for a particular customer, or location, we are able to deliver substantial cost savings.”

LPG and propylene need to be stored at different temperatures. In order to enable the co-loading of the two products, ADNOC stated that it conducted various workshops with its customers, product specialists and ADNOC group companies involved in the loading operation.

“This new practice could change the market approach to loading propylene onto larger ships and reduce propylene freight rates dramatically,” said Al Dhaheri. “For me, this really represents the new, progressive and agile organization that ADNOC has become.”



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