Project / Tender - Complete Information

The Client and state-owned holding company ADQ have entered into a joint venture to invest in chemical projects in the planned Ruwais Derivatives Park in Abu Dhabi. While Adnoc will hold a 60 percent stake in the joint venture, ADQ will own the remaining 40 percent. The JV will evaluate and invest in anchor chemical projects in the Ruwais Park. TAZIZ comprises three zones: The first of which is an Industrial Chemicals Zone that will host chemicals production. The second is a Light Industrial Zone, which will be home to downstream conversion industries that will convert the outputs of the Chemicals Zone into consumable products. The third is an Industrial Services Zone that will house a variety of companies providing the services required by the TAZIZ industrial zones and the wider Ruwais Industrial Complex. 

The project is still under design stage.

 

Abu Dhabi Chemicals Derivatives Company RSC Ltd (TA’ZIZ) announced the signing of a shareholder agreement with Fertiglobe, GS Energy Corporation (GS Energy) and Mitsui & Co., Ltd. (Mitsui), to develop an anticipated 1 million tons per annum low-carbon ammonia production facility at the TA’ZIZ Industrial Chemicals Zone. This is a further step in the project’s journey towards a final investment decision (FID). The facility will reinforce Abu Dhabi’s position as a leader in low-carbon fuels and capitalize on the growing demand for low-carbon ammonia as a carrier fuel for clean hydrogen. The agreement builds on ADNOC’s deep experience in Carbon Capture, Utilization and Storage (CCUS), Fertiglobe’s world-leading ammonia capabilities, and Mitsui and GS Energy’s leading roles in industrial decarbonization. It follows several agreements signed by ADNOC to explore hydrogen supply opportunities with customers in key demand centers including the Ministry of Economy, Trade and Industry of Japan, Japan’s Mitsui and Korea’s GS Energy. Low-carbon ammonia is made from hydrogen derived from natural gas feedstocks and nitrogen, with the carbon dioxide produced captured and stored. Ammonia can be used as a low-carbon fuel for applications, including transportation and power generation and in industries, such as steel, cement and fertilizers. The project will benefit from the UAE’s position as a major producer and reserves holder of natural gas and leader in CCUS. The CCUS process uses advanced technology to prevent CO2 from entering the atmosphere after it is expended in industrial processes. ADNOC operates Al Reyadah, the region’s first industrial-scale CCUS facility, with an 800,000 tons per year of CO2 capture capacity. TA’ZIZ continues to advance at pace with site preparation underway and strategic agreements signed for the development of a world-scale ethylene dichloride (EDC), chlor-alkali, polyvinyl chloride (PVC) production facility with Reliance Industries and Shaheen, and with Proman for a world-scale methanol facility. The total investment in the first phase of TA’ZIZ will be in excess of $5 billion (AED18 billion), with most of the chemicals produced to be created in the UAE for the first time. All agreements are subject to regulatory approvals.

 

Abu Dhabi National Oil Company (Adnoc) and ADQ, the majority shareholders in Ta’ziz, launched the next phase of growth at the Ta’ziz Industrial Chemicals Zone in Al Ruways Industrial City. The move will more than double the number of chemicals produced at the industrial hub. The centrepiece of the expansion will be a new world-scale, low-carbon footprint steam cracker to supply feedstocks for the various downstream production units, bringing multiple new product value chains to the UAE for the first time. The project is in the feasibility study phase, with the design phase set to commence in first quarter of 2023. Site preparation at Ta’ziz is underway and final investment decisions on the first phase of projects are expected before year of 2022. The Engineering, Procurement and Construction (EPC) contract for the utility facilities and the EPC contract for the logistics facilities marine works have both been tendered, with EPC awards expected shortly.

 

Project is currently under design stage.

 

Al Masaood Group has signed an Expression of Interest to join the TA’ZIZ’ project. As part of ‘TA’ZIZ,’ Al Masaood Group is studying the offer of light industrial services, including maintenance support, industrial processes, and facilities management solutions for the services and healthcare sectors. The Group is also studying the offer of products for the Ruwais Industrial Complex, with the possibility of establishing a facility within its Light Industrial Zone. 

 

Mitsui & Co., Ltd. announced that it has agreed a project framework agreement with client to partner with TA’ZIZ, Fertiglobe, and GS Energy to participate in a low-carbon ammonia production project at the TA’ZIZ Industrial Chemicals Zone. TA’ZIZ is a joint venture between ADNOC and ADQ, an Abu Dhabi-based investment and holding company. The initial agreement with ADNOC to join the project was announced in November 2021. This proposed project aims to produce low-carbon ammonia from low-carbon hydrogen with the carbon dioxide to be captured and stored. ADNOC started the feasibility study for this project in 2021, and the facility is expected to commence production in 2025, with a production capacity of approximately 1 million tons per annum. The project is subject to relevant regulatory approvals. Ammonia has been attracting attention as a zero-emission fuel that does not generate CO2 during burning, and also as a carrier for hydrogen. Mitsui is examining the potential to import low-carbon ammonia produced in this project to Japan and contribute to the realization of low-carbon power generation in Japan.

 

Abu Dhabi Chemicals Derivatives Company RSC Ltd (TA’ZIZ) announced that Shaheen Chem Holdings Investment LLC (Shaheen), will join the proposed TA’ZIZ and Reliance Industries Limited TA’ZIZ EDC & PVC joint venture, that will construct and operate a world-scale Chlor-Alkali, Ethylene Dichloride (EDC) and Polyvinyl Chloride (PVC) facility, at the TA’ZIZ Industrial Chemicals Zone. The project will supply local manufacturers, replacing chemicals currently imported, while also exporting to meet growing demand for these chemicals globally. TA’ZIZ will provide new opportunities for local manufacturers, supporting growth of their knowledge and capabilities, catalyzing local industrial development.

 

 

ADNOC has signed an agreement with Proman, one of the world’s leading producers of methanol, to develop the United Arab Emirates’ (UAE) first world-scale methanol production facility at the TA’ZIZ Industrial Chemicals Zone in Ruwais. Under the terms of the agreement, Abu Dhabi Chemicals Derivatives Company RSC Ltd. (“TA'ZIZ”) and Proman will construct a natural gas to methanol facility with an anticipated annual capacity of up to 1.8 million tons per annum. The facility will meet growing domestic and international demand for this clean and versatile chemical commodity which is gaining momentum as a lower-emission fuel alongside existing uses spanning industrial products. The project is subject to relevant regulatory approvals.

 

TA’ZIZ has signed investment agreements with eight UAE-based investors who will take up to 20 percent stake in a portfolio of projects worth $4 billion in the Industrial Chemicals Zone in Ruwais. In the deal, which marks the first domestic public-private partnership (PPP) in Abu Dhabi’s downstream and petrochemicals sector, the local investors will be committing funds alongside Abu Dhabi National Oil Company (ADNOC), ADQ, and other global strategic partners. The eight UAE investors include Al Dhafra Co-operative Society, Al Nasser Holdings, Alpha Dhabi Partners Holding, Arab Development Establishment, Buhairan Limited Company, Capital Investment, Mazrui International and Mazrui Energy Services and Riverside Investments.

 

Abu Dhabi Chemicals Derivatives Company RSC Ltd (Ta’ziz) and India’s Reliance Industries, have agreed to launch Ta’ziz EDC & PVC, a world-scale chemical production partnership at this project. The new joint-venture will construct and operate a Chlor-Alkali, Ethylene Dichloride (EDC) and Polyvinyl Chloride (PVC) production facility, with an investment of more than $2 billion. Representing the first production of these chemicals in the UAE, the project will enable the substitution of imports and the creation of new local value chains, while also meeting growing demand for these chemicals globally. The chemicals have a wide range of industrial applications, enabling local supply chains and meeting growing demand in key export markets. Chlor-Alkali enables the production of caustic soda, crucial to the alumina refining process. EDC is used in the production of PVC, which is used to manufacture a wide range of industrial and consumer products including pipes, windows fittings, cables, films and flooring. This project is currently in the design phase with project start up targeted in 2025.

 

Adnoc Logistics & Services (Adnoc L&S), and AD Ports Group have signed an agreement to develop a new port and logistics facility at Ta’Ziz, the chemicals production and industrial hub currently under development at Ruwais. Under the terms of the agreement, Adnoc L&S and AD Ports Group will develop a liquids terminal and logistics facility to support tenants of the Ta’Ziz Industrial Chemicals Zone. The facility will be a critical part of the supply chain for feedstocks and will store and load final products for export. The partners will select an international operator to enter into a new joint venture and contribute to the development of the new port. Three large-scale berths and associated infrastructure in addition to loading and unloading facilities will make up the foundation of the new port. The two liquid berths measure 640 meters in length with the dry bulk berth measuring 320 meters, which combined equals 10 football pitches. A tank farm with ten product tanks and one feedstock storage tank will be included, with specialized utilities, control rooms, and product vapor handling systems safeguarding the products in storage.

 

Japan’s Mitsui and Korea’s GS Energy Corporation have partnered with Ta’Ziz and Fertiglobe to develop the world-scale low-carbon blue ammonia facility. The partnerships are expected to accelerate Abu Dhabi’s position as a leader in low-carbon fuels, capitalizing on the growing demand for blue ammonia as a carrier fuel for clean hydrogen. The agreements highlight the exceptional international investor interest in Ta’Ziz and follow Adnoc and Fertiglobe’s recent sales of low-carbon blue ammonia demonstration cargos to customers in Japan and Korea.

 

The Abu Dhabi National Oil Co (ADNOC) in partnership with Fertiglobe, agreed to sell blue ammonia to Idemitsu in Japan for use in its refining and petrochemicals operations. The sale builds upon recently announced joint efforts to enhance industrial cooperation between the UAE and Japan and support the development of new UAE-Japan blue ammonia supply chains and follows the first sale of UAE blue ammonia cargos to Itochu. Fertiglobe, a 58:42 partnership between OCI and ADNOC, will produce blue ammonia at its Fertil plant in the Ruwais Industrial Complex for delivery to customers in Japan. The shipment, which was sold at an attractive premium to grey ammonia, underscores the favorable economics for blue ammonia as an emerging source of low-carbon energy. It represents a further production milestone of a planned scale-up of blue ammonia production capabilities in Abu Dhabi, which is expected to include a low-cost debottlenecking program at Fertil. 

 

Indian multinational conglomerate Reliance Industries Limited has signed an agreement to join a new world-scale chlor-alkali, ethylene dichloride and polyvinyl chloride (PVC) production facility at Ta'ZiZ. Chlor-alkali is used in water treatment and in the manufacture of textiles and metals. Ethylene dichloride is typically used to produce PVC. PVC has a wide range of applications across housing, infrastructure and consumer goods. The market for these chemicals is expected to enjoy steady growth supported by the needs of growing demand, particularly in Asia and Africa. The agreement capitalises on growing demand for these critical industrial raw materials and leverages the strengths of Adnoc and Reliance as global industrial and energy leaders. The project will be constructed in the Ta'ZiZ Industrial Chemicals Zone. Under the terms of the agreement, Ta'ZiZ and Reliance will construct an integrated plant, with capacity to produce 940,000 tonnes of chlor-alkali, 1.1 million tonnes of ethylene dichloride and 360,000 tonnes of PVC annually.

 

TA’ZIZ and Fertiglobe have signed an agreement for Fertiglobe to join the world-scale blue ammonia production project at TA’ZIZ. The agreement further strengthens the UAE’s hydrogen value proposition, building on the deep experience in carbon capture and storage of ADNOC, and the world leading ammonia capabilities of Fertiglobe, to develop the first-of-its-kind large scale blue ammonia project in the MENA region. The companies will jointly conduct pre-FEED and FEED activities and in parallel ADNOC will undertake a sole-risk feasibility study on blue ammonia. The Final Investment Decision is expected in 2022.

 

Abu Dhabi National Oil Company (ADNOC) and Abu Dhabi National Energy Company PJSC (TAQA) have signed an agreement to construct the utilities facility for TA’ZIZ. This agreement brings together two of Abu Dhabi’s industrial champions, using the expertise and skills of both TAQA and ADNOC to enhance the attractiveness of TA’ZIZ projects and strengthen the value proposition for investors. TA’ZIZ will accelerate the UAE’s broader economic growth and industrial diversification, with initial chemicals production expected in 2025. Opportunities are available for local and international investors to participate across the value chain, including light manufacturing and services. Under the terms of the utilities facility agreement, ADNOC and TAQA will jointly develop the power, steam, cooling, demineralized and waste water services to enable chemicals projects within the TA’ZIZ ecosystem. TA’ZIZ will catalyze the development of manufacturing and supply chain activities at Ruwais. Manufacturers will locate in the TA’ZIZ Light Industrial Zone, adjacent to the TA’ZIZ Industrial Chemicals Zone, off-taking TA’ZIZ chemicals to make value-added products for local and international markets. Suppliers will cluster in the TA’ZIZ Industrial Services Zone, to meet the growing needs for services in the Ruwais industrial area. Contracts have been awarded for the first stages of development for the TA’ZIZ site, and work is already underway. This includes geotechnical and topographical surveys, a marine bathymetric survey and health, safety and environment impact assessments, which have already been completed. The surveys will enable civil engineering works to prepare the TA’ZIZ site for construction as well as dredging for an entirely new port facility.

 

Client plans to build a blue ammonia production plant as the UAE's biggest energy producer seeks to become a leader in clean energy products, including hydrogen. The facility, to be built in the industrial hub of Ruwais, will have the capacity to produce 1 million mt/year of blue ammonia. The facility, part of the TA'ZIZ Industrial Park in Ruwais, is envisaged to start production in 2025. Initial front-end engineering and design contract (Pre-FEED) for the blue ammonia project and six additional TA'ZIZ chemicals projects has been awarded to Wood. 

 

Client has issued tenders for front-end engineering and design (feed) work on petrochemical derivatives projects. 

 

Ta’ziz is expected to start construction work on the planned Ruwais Derivatives Park  in early 2022. Land surveys are now completed.

 

The JV partners announced launch of a new joint venture Taziz which will drive the development of industrial projects within the planned the Park. It will lay foundation for new technology-led industries in Abu Dhabi and the UAE and act as a catalyst for the UAE’s economic diversification and technology-led growth. Ta’ziz will look to invest in $3bn worth of chemical projects, with $2bn to be spent in developing port and infrastructure facilities in Ruwais. The partners have identified chemical compounds with uses in water treatment, metallurgy, agriculture, pharmaceuticals, adhesives and automobiles for anchor projects. Among some of the compounds that are likely to be manufactured, following feasibility studies, as part of the JV are chlor-alkali, ethylene dichloride, maleic anhydride, methanol, ammonia, isopropyl alcohol and elastomers. An “industrial ecosystem” fostered will comprise a new port, utilities, infrastructure, feedstock supply and shared services and could cost well over $2bn. Geotechnical and topographical surveys, as well as marine, environment, health and safety assessments are currently underway. The surveys will be completed by year-end, paving the way for civil engineering works for construction and dredging for a new port facility. Design and engineering contracts for the planned infrastructure, including chemical plants will be awarded in early 2021. The facilities would be made available to investors on the basis of a ‘plug and play’ concept. New projects can be plugged into the existing park infrastructure, lowering the cost of investment and further enhancing the Ruwais Derivatives Park’s competitiveness. Derivatives Park is to commence in early 2021 with initial chemical production expected in 2025.

 

Both parties will conduct a comprehensive feasibility study of projects. The results of the comprehensive feasibility study are due before the end of 2020 and will include opportunities for prospective investors.