Adnoc, SOCAR Team Up for Low Carbon Energy

Abu Dhabi National Oil Co. (Adnoc) and the State Oil Company of Azerbaijan Republic (SOCAR) have signed an agreement to collaborate on the potential development of low carbon energy technologies.

As part of the strategic collaboration agreement, Adnoc and SOCAR will explore opportunities to work together to advance blue hydrogen, carbon management, and geothermal technologies that can accelerate the decarbonization of energy systems in the United Arab Emirates (UAE), Azerbaijan and other key markets, Adnoc said in a news release Wednesday.

“This latest collaboration with SOCAR underscores the importance of our industry working together to advance low-carbon solutions and accelerate decarbonization”, Adnoc Executive Director for Low Carbon Solutions and International Growth Musabbeh Al Kaabi, said. “Through this agreement Adnoc and SOCAR will leverage our combined knowledge, experience and expertise to advance promising hydrogen, carbon management and geothermal technologies that could make a tangible difference as the world takes bold steps to decarbonize energy value chains”.

“This partnership highlights our unwavering commitment to advancing the energy transition and reinforces the strong bilateral ties between SOCAR and Adnoc”, SOCAR Vice President for Energy Transition, Environment and Decarbonization Afgan Isayev said. “By formalizing our commitment through the signing of the Oil & Gas Decarbonization Charter at COP28, we affirm our proactive stance towards eliminating flaring, mitigating methane emissions and achieving net-zero emissions by 2050. This collaboration signifies our collective pursuit of a greener future, leveraging our combined expertise for sustainable energy practices. This partnership highlights our unwavering commitment to advancing the energy transition and reinforces the strong bilateral ties between SOCAR and Adnoc.”

The agreement builds on the strategic bilateral energy cooperation between the UAE and Azerbaijan, including the 30 percent stake held by Adnoc in the Absheron gas and condensate field in the Azerbaijan sector of the Caspian Sea, according to the release.

Geothermal Cooling Project in Abu Dhabi

Meanwhile, Adnoc and the National Central Cooling Company PJSC (Tabreed) started up operations at G2COOL, the first district cooling project in the Gulf region to harness geothermal energy. The plant will further decarbonize the cooling of buildings in Masdar City while diversifying the UAE’s energy mix in support of the UAE National Energy Strategy 2050, Adnoc said in a separate news release. Masdar City is a sustainable urban community and technology hub in Abu Dhabi.

The G2COOL plant produces naturally occurring hot water found underground through two geothermal wells. The hot water is fed into absorption cooling technology to produce the chilled water needed by Tabreed for its district cooling activities. According to Adnoc, the chilled water derived from this source of clean energy accounts for 10 percent of Masdar City’s cooling needs. The project is enabled by the company’s initial $15 billion (AED55 billion) allocation towards low carbon solutions, the release said.  

“Early efficiency performance from the G2COOL plant has surpassed our expectations, proving that geothermal energy is a viable way to decarbonize the way we cool buildings, which is one of the most energy-intensive activities in our region”, Al Kaabi said. “I look forward to working with partners and pioneers to find fresh ways of harnessing this underground heat to further support ADNOC’s accelerated decarbonization plan and net zero by 2045 ambition”.

“As our country welcomes the world for COP28, Tabreed is proud to announce such promising results from the Gulf region’s first geothermal energy project”, Tabreed Chairman Khaled Al Qubaisi said. “This pioneering pilot project has confirmed that geothermal provides a viable, renewable source of clean energy that can support district cooling across the UAE. Our partnership with Adnoc on geothermal shows what can be achieved through a shared commitment to progress”.

Adnoc said it is working with several companies to maximize the contribution of geothermal energy in the UAE using the latest drilling and power generation technologies. The state-owned oil company has initially allocated $15 billion (AED55 billion) to advance and accelerate lower-carbon solutions, new energies and decarbonization technologies.

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