XRG aims to achieve a gas and LNG capacity of 20-25 millions tons per annum by 2035

XRG (the international investment arm) of Abu Dhabi National Oil Company said on Tuesday that it aims to be a gas and Liquefied Natural Gas business with a capacity between 20 and 25 millions metric tons annually by 2035.

XRG, which is led by former BP CEO Bernard Looney, and Blackstone's Jon Gray approved a business plan for five years that aims to build an integrated LNG and gas business, including the target of capacity, XRG stated in a press release.

XRG reported that the board "also supported the assessment of potential LNG and upstream gas M&A opportunities to strengthen North American gas' position", XRG added.

ADNOC CEO Sultan Al Jaber is also XRG’s executive chairman. He said that during President Donald Trump’s visit to Abu Dhabi in October, the enterprise value for ADNOC’s energy investments in America would increase to $440 billion over the next decade, from $70 billion.

In March, he said that XRG will make a substantial investment in U.S. Natural Gas in the coming months.

ADNOC agreed to purchase German chemicals manufacturer Covestro in October for 14.7 billion Euros including debt. Jaber said later that it would be under XRG. XRG and Austria's OMV also struck a deal to merge Borouge and Borealis, their petrochemicals companies. The combined firm would have a $60 billion enterprise value.

The board "endorsed" the company's goal to become one of the top three global chemical platforms, XRG reported.

XRG said that low carbon energy would be the other main focus of its efforts, along with gas and chemical.

In a statement released on Tuesday, XRG said that the board had directed the Energy Solutions platform of XRG to "expand investments across the value chain in energy while continuing to develop selected opportunities in low-carbon fuels like biofuels and hydrogen with attractive returns."

(source: Reuters)