PROJECTS: Adnoc Gas expects investments to top $3bln on growth projects in 2025

First published: 06-Aug-2025 10:56:51

Staff Writer

Adnoc Gas, a subsidiary of oil giant Abu Dhabi National Oil Company (Adnoc), expects total investments to reach around $3 billion in 2025 as its flagship MERAM project reaches peak activity ahead of start-up.

The MERAM project focuses on maximizing ethane recovery and monetisation for sale to the Borouge 4 petrochemicals project, currently under construction at Ruwais, the company said in its Q2 2025 financial statement published on the Abu Dhabi stock exchange.

The company advanced the previously announced MERAM project in the first half of 2025, as the Engineering, Procurement, and Construction contract of $3.6 billion (AED13.1 billion) was awarded to the joint venture between National Petroleum Construction Company and Spain’s Tecnicas Reunidas in 2023.

The MERAM project aims to increase ethane extraction by a range of 35 - 40 percent, from ADNOC Gas’ existing onshore facilities in the Habshan complex through the construction of new gas processing facilities; and unlock further value from existing feedstock and deliver it to Ruwais via a dedicated 120 km natural gas liquids pipeline. 

In addition, Adnoc Gas took a $5 billion final investment decision on the first phase of the Rich Gas Development project, which propels it to achieve more than 40 percent EBITDA growth by 2029.

Capital expenditure (capex) reached $1.22 billion in the first six months of 2025, primarily allocated to growth projects, the statement said.

The company allocated $217 million of the total capex to sustaining assets and supporting turnaround activities, which are crucial for extending their technical life and ensuring operational excellence.

(Editing by Anoop Menon) (anoop.menon@lseg.com)

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