The UAE today announced the discovery of a new natural gas field containing 80 trillion standard cubic feet of gas in the cross-border area of the Emirates of Abu Dhabi and Dubai. The discovery of the Jebel Ali gas field will contribute to achieving gas self-sufficiency for the nation and support the next phase of its major development projects in line with the nation’s strategic development plan for the coming 50 years.
His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, and His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, today witnessed a strategic cooperation agreement between the Abu Dhabi National Oil Company (ADNOC) and the Dubai Supply Authority (DUSUP) to continue to explore and develop shallow gas in the cross-border area of the Emirates of Abu Dhabi and Dubai, as part of the joint venture called the Jebel Ali field.
This new gas field, spanning an area of 5,000 square kilometers in the cross-border area of the two emirates, represents one of the largest natural gas discoveries in the UAE. The discovery strengthens the UAE’s position among countries with the world’s largest natural gas reserves.
The agreement was signed by His Highness Sheikh Ahmed bin Saeed Al Maktoum, Director General of DUSUP, and His Excellency Dr. Sultan Ahmed Al Jaber, UAE Minister of State and ADNOC Group CEO.
His Highness Sheikh Ahmed bin Saeed said: “The agreement is an important step forward in further enhancing cooperation and tapping synergies to maximise the UAE’s resources, as part of our leadership’s vision for a new 50 year phase of development. This partnership enables our organisations to combine each other’s capabilities to capture the greatest possible benefits from the UAE’s hydrocarbon assets.”
“We look forward to working closely with ADNOC to further explore gas resources in the cross-border region of Dubai and Abu Dhabi as part of diversifying our energy resources. This collaboration will contribute to raising our long-term energy security, which is crucial to realising our aspirations in a new economic era of growth to be a leader in shaping the future of the region and the world, as well as enhancing the happiness and welfare of our people,” he added.
The discovery signifies the first time ADNOC has explored onshore hydrocarbon resources in Dubai. As part of the agreement, in collaboration with DUSUP, ADNOC will deploy capital, technology, and expertise to develop and produce these potential shallow gas resources and conduct further exploration in the cross-border region.
The intention is that the gas produced as a result of this agreement will be supplied to DUSUP, offering the potential to further power Dubai’s growth and supporting Dubai’s plan to become a smart and sustainable city as it reinforces its position as a pivotal hub of the global economy, backed by providing energy security and the opportunity to further diversify Dubai’s economy.
His Excellency Dr. Al Jaber said: “This strategic cooperation agreement with Dubai Supply Authority is a natural evolution of our shared commitment to harness energy resources in the service of the UAE, in line with the wise directives of the leadership. It reinforces ADNOC’s commitment to ensuring a sustainable and economic gas supply and achieving gas self-sufficiency for the nation.”
“Importantly, the shallows gas discoveries by ADNOC in the Emirates of Abu Dhabi and Dubai demonstrate our drive to unlock value from the UAE’s vast hydrocarbon resources for the benefit of the Emirati people. We look forward to swiftly progressing the ongoing work and exploring, appraising and developing the targeted area as it offers further significant potential to create long-term and enduring value for the UAE.”
Shallow gas is natural gas that has accumulated at a shallow depth from the earth’s subsurface. ADNOC is utilising both conventional and unconventional drilling and completion technologies and methods to access this trapped natural gas. More than 10 exploration wells have been drilled to date across the Emirates of Abu Dhabi and Dubai.
Over the past 12 months,
ADNOC has stepped up its efforts to deliver its integrated gas strategy which will see the development, in phases, of Abu Dhabi’s substantial gas reserves, as the UAE moves towards gas self-sufficiency and aims to transition from a net importer of gas to a potential net exporter of gas.
Today’s announcement comes two months after Abu Dhabi’s Supreme Petroleum Council (SPC) announced increases in hydrocarbon recoverable reserves of 7 billion stock tank barrels (STB) of oil and 58 trillion SCF of conventional gas, moving the UAE from seventh to the sixth position in both global oil and gas reserves rankings with a total of 105 billion STB of recoverable oil, 273 trillion SCF of conventional gas and 160 trillion SCF of unconventional gas resources