ADQ and SCIC sign MoU to explore investment opportunities in Vietnam

ADQ and State Capital Investment Corporation (SCIC), a sovereign wealth fund owned by the Government of Vietnam, on Saturday announced the signing of a Memorandum of Understanding (MoU) to establish a framework for collaboration in key sectors of mutual interest in the Southeast Asian country.

As part of the agreement, both entities will collaborate to identify and assess potential co-investment opportunities that support Vietnam’s economic ambitions and align with its strategic development objectives.

Vietnam is the third-largest economy in Southeast Asia, after Indonesia and Thailand, and is projected to grow by 6.5 percent in both 2025 and 2026. In October 2024, Vietnam and the UAE finalised a Comprehensive Economic Partnership Agreement, Vietnam’s first with a Middle Eastern nation, paving the way for enhanced collaboration across key sectors, including oil and gas, renewable energy, and agriculture.

Mohamed Hassan Alsuwaidi, Minister of Investment and Managing Director and Group Chief Executive Officer of ADQ, said, “This partnership aims to deepen the strengthening bilateral ties between the UAE and Vietnam, while also highlighting ADQ’s commitment to investing in high-growth markets that align with our strategic investment priorities. Vietnam’s rapidly expanding economy presents a unique opportunity to drive impactful investments in key sectors of mutual interest. By leveraging the expertise within our diverse portfolio, we strive to be a catalyst for sustainable growth, unlocking tangible value and supporting Vietnam’s long-term economic ambitions.”

Nguyen Chi Thanh, Chairman of State Capital Investment Corporation, commented, “The signing of the Memorandum of Understanding (MoU) on investment collaboration is a significant milestone, laying a solid foundation for the partnership between SCIC and ADQ in particular and contributing to the development of bilateral relations between the two nations in general. SCIC stands ready to provide support and facilitate the most favourable conditions for the two parties to pursue long-term collaboration in the future. To further strengthen bilateral cooperation, we would like both sides to come together and organise dedicated business forums in specific sectors in the coming period. These forums would help foster connectivity and partnership opportunities, explore investment prospects, and develop joint investment mechanisms.”

Earlier Abu Dhabi sovereign wealth fund ADQ has teamed up with Orion Resource Partners to form a joint venture that will invest in metals and mining, ADQ said on Thursday, as the wealth fund expands its critical minerals portfolio.

Under the 50-50 JV, which will be based in the UAE’s capital, ADQ and global investment firm Orion will initially invest $1.2 billion over four years in mining companies in emerging markets in Africa, Asia and Latin America, the fund said in a statement.

The partners will invest through different asset classes, including equity, senior debt and production-linked instruments, such as royalties.

Established in 2018, ADQ has a broad portfolio of domestic assets, including energy, healthcare, as well as transport and logistics such as Abu Dhabi state carrier Etihad Airways.

The fund had $225 billion in assets under management at the end of June and has been investing in sectors that could help oil-rich Abu Dhabi speed up economic diversification plans aimed at cutting reliance on oil revenues.

“Downstream sectors such as manufacturing and clean energy are expected to directly benefit from the sourcing of critical raw materials” through the JV, ADQ said.

It will be part of the wealth fund’s infrastructure and critical minerals cluster, which includes Australian infrastructure investor Plenary Group.

The new office will be headed by Philip Clegg, who has served as Orion’s managing partner.

Adnoc-ADQ JV Awards $1.7 billion build contract for UAE Methanol Plant.

TA’ZIZ, an Abu Dhabi National Oil Co. (Adnoc) and ADQ joint venture tasked with establishing a “chemicals and transition fuels ecosystem”, has awarded a $1.7 billion engineering, procurement and construction (EPC) contract for a methanol production facility in the Al Ruwais ecosystem project.

Expected to be completed 2028, the plant will be the first methanol production facility in the United Arab Emirates, according to TA’ZIZ. The plant is planned to produce up to 1.8 million metric tons a year of clean energy-powered methanol.

“This landmark EPC contract award is a significant step in realising TA’ZIZ’s vision to drive the UAE’s industrial growth by creating a world-scale integrated chemicals ecosystem in Al Dhafra region”, TA’ZIZ chief executive Mashal Saoud Al-Kindi said in a company statement. “The plant will enhance the UAE’s position as a leader in sustainable chemicals production and strengthen TA’ZIZ’s role in enabling Adnoc’s global ambition to lead the chemicals sector”.