TA’ZIZ Secures $2 Billion for Blue Hydrogen Ammonia Infrastructure in UAE

Wedoany.com Report-Nov 7,  EPC contracts advance TA’ZIZ’s strategy to drive UAE’s industrial growth as it supports ADNOC’s ambition to become a top five global chemicals player

Awards include a dedicated chemicals port which will enable exports of methanol, low-carbon ammonia and new industrial chemicals produced in the UAE for the first time

Significant In-Country Value to be generated from the awards, boosting economic growth and diversification in Al Dhafra region 

Abu Dhabi, UAE – November 6, 2024: TA’ZIZ announced today engineering, procurement and construction (EPC) contracts valued at more than $2 billion (AED7.34 billion) for the development of essential site infrastructure to advance the TA’ZIZ chemicals and transition fuels ecosystem under development in Al Ruwais Industrial City, Al Dhafra Region of the Emirate of Abu Dhabi. 

A significant portion of the value of the contracts is expected to flow back into the UAE’s economy under ADNOC’s In-Country Value (ICV) program, boosting economic growth and diversification in Al Dhafra region. The awards will also accelerate TA’ZIZ’s efforts to establish a domestic low-carbon chemicals supply chain, while supporting ADNOC’s chemicals growth strategy and ambitions to become a top five global chemicals player. 

Mashal Saoud Al-Kindi, CEO of TA’ZIZ, said: “These infrastructure awards are vital milestones in TA’ZIZ’s mission to develop a world-class, integrated chemicals ecosystem to capitalize on growing global demand for low-carbon chemicals and transition fuels. We are well positioned to enable ADNOC’s chemicals growth strategy, while also driving the industrialization and diversification of the UAE’s economy through the creation of new local value chains.”

TA’ZIZ is scheduled to commence production in 2027, targeting an output of 4.7 million tons per annum (mtpa) of chemicals by 2028. TA’ZIZ will produce a range of chemicals, many of which have not previously been manufactured in the UAE, enabling the local manufacture of many new construction, agriculture and healthcare products. In its initial phase, TA’ZIZ will produce six chemicals: caustic, ethylene dichloride, vinyl chloride monomer, polyvinyl chloride, low-carbon ammonia and methanol. 

The EPC contract for the chemicals port was awarded to NMDC Group (formerly National Marine Dredging Company). When the port is complete, it will facilitate the export of chemicals and transition fuels, ensuring operational connectivity to regional and global markets and enhancing access to imported supplies.  

The EPC contract for the chemicals terminal, including the development of storage facilities, tank-to-jetty pipelines, jetty-to-tank pipelines, inter-site pipelines and liquid product storage, was awarded in partnership with Advario, a global leader in energy and chemicals storage and logistics, to Rotary Engineering–Abu Dhabi.

The EPC contract to develop essential infrastructure for the 17-square kilometer TA’ZIZ site, including internal roads, security fencing and buildings, was awarded to Al Geemi Contracting. A further EPC contract will include the development of centralized utilities including power transmission, steam, cooling water and water.  

The dedicated chemicals port and terminal will enable exports from the 1 mtpa low-carbon ammonia production facility and world-scale methanol plant TAZIZ is building in Ruwais, as well as imports of key materials. The essential infrastructure will ensure seamless connectivity, efficient transportation of goods, and provide the necessary power for the site’s planned manufacturing and industrial zones.