Adnoc and Borealis start work on $6.2b Borouge 4 facility in Ruwais

Sheikh Hamdan Bin Zayed Al Nahyan, the Ruler’s Representative in Al Dhafra Region, witnessed the ground-breaking ceremony of the $6.2 billion (Dhs22 billion) fourth Borouge facility, (Borouge 4), at the company’s polyolefin manufacturing complex in Ruwais, Abu Dhabi.

Sheikh Hamdan was accompanied by a high-level delegation of dignitaries and senior officials from the Abu Dhabi Government as well as Borouge shareholders, Adnoc and Borealis. Dr Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, Managing Director and Adnoc Group CEO welcomed Sheikh Hamdan Bin Zayed Al Nahyan and the delegation to Ruwais where they were briefed on the Borouge 4 expansion project. Borouge 4 will play a significant role in meeting the projected growth of customers’ demand for polyolefins in the Middle East, Africa and Asia as well has providing critical feedstock that will enable the TA’ZIZ Chemicals Industrial Chemicals Zone in Ruwais.

Sheikh Hamdan praised Adnoc and Borealis in their combined efforts to drive further growth for Borouge while underlining the company’s role in advancing the petrochemicals industry to support the UAE’s sustainable economic development and diversification plans.

The expansion of Borouge 4 follows confirmation of the final investment decision in November 2021. The new plant will enable the next phase of growth at the Ruwais Industrial Complex by supplying feedstock to TA’ZIZ, enhancing local industrial supply chains and boosting In-Country Value opportunities. Scheduled to be operational by the end of 2025, the plant will produce 1.4 million tonnes of polyethylene, boosting the company’s total annual polyolefin production to 6.4 million tonnes, making Borouge the world’s largest single-site polyolefin complex.

Dr Sultan Al Jaber commented: “We are honoured by the presence of Sheikh Hamdan Bin Zayed Al Nahyan as we lay the foundation stone of this world-scale project, which marks a major milestone in Adnoc’s downstream and industry expansion. We continue to receive strong interest from international and local investors who want to partner with us in growing and developing our downstream and petrochemical business in Ruwais. Borouge 4 willstrengthen our domestic supply chain, while accelerating In-Country Value and boosting the UAE’s economic diversification, in line with the Leadership’s wise directives. In terms of sustainability, a study for a Carbon Capture unit that would reduce CO2 emissions has been initiated as part of the project”.

Thomas Gangl, Borealis CEO, said “Borouge 4 is another milestone in the successful business journey and strategic partnership between Borealis and Adnoc. The new expansion embodies our mutual commitment to continue supporting our customers in the Middle East, Asia and Africa with differentiated polyolefins solutions that cater for their future ambitions in the energy, infrastructure, and advanced packaging industries.” The Borouge 4 project will utilise Borealis’ proprietary Borstar technology, to produce a product portfolio focused on durable applications for energy, infrastructure, advanced packaging, and agriculture sectors. The expansion project is also designed to capitalise on Adnoc’s recent initiatives on clean energy, decarbonising its power supply through access to Abu Dhabi’s clean power sources.

Sheikh Hamdan Bin Zayed Al Nahyan concluded his visit with the inauguration of the”Al Dhannah Golf Club”, which features a comprehensive 3454-yard 9 hole golf course designed by Englishman Jon Hunt from International Golf Design. The facility also includesa driving range, chipping and putting practice areas as well as floodlit night golf for avid players. The compact and comfortable Clubhouse has a Pro-Shop, locker rooms as well as outdoor dining areas with stunning views from the highest point of the property. The club has been developed as part of the ongoing transformation of Ruwais to provide greater lifestyle and recreation facilities for the local community, as well as attracting local and international tourism to the city.

Separately, Adnoc maintained in 2022 its position as the UAE’s most valuable brand for the fourth consecutive year, according to a new report from Brand Finance, the world’s leading independent brand valuation consultancy. Adnoc’s $12.76 billion (Dhs47 billion) brand value witnessed a 19 per cent increase over the previous year and a 174 per cent increase since 2017, said an Adnoc statement recently.

Adnoc ranked the first valuable brand in the UAE, the second in the Middle East and North Africa, and the ninth on the top ten most valuable brands in the Oil &Gas (O&G) sector. Brand Finance also ranked Dr Sultan Bin Ahmed Al Jaber, Managing Director and Group CEO of Adnoc, number one among all O&G CEOs globally outside the United States and China for the second consecutive year, and number one in the UAE and the Middle East.

WAM