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MOSCOW (MRC) -- The Abu Dhabi National
Oil Company (ADNOC) has officially launched its second trading arm, ADNOC Global
Trading (AGT), a joint venture between ADNOC (65%), Eni (20%) and OMV (15%)
which focuses on the trading of refined products globally, according to Hydrocarbonprocessing.
The
AGT virtual launch event brought together leaders from ADNOC, Eni and OMV, as
well as the leadership from several ADNOC Group companies, including ADNOC
Logistics and Services (L&S), ADNOC Refining, ADNOC Trading and ADNOC Global
Trading.
H.E. Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and
Advanced Technology and ADNOC Group CEO opened the virtual forum alongside
CEO’s, Claudio Descalzi of Eni and Rainer Seele of OMV.
H.E. Dr. Sultan
Ahmed Al Jaber said: “The go-live of ADNOC Global Trading marks another
important milestone in the delivery of our 2030 smart growth strategy, and our
focus on providing a better and broader service to our customers while driving
growth and adding incremental value to our operations. Together with our
partners Eni and OMV, our new trading entity expands the reach of our products
to new markets and new customers. AGT will enhance the skills of our people by
combining experienced traders with the next generation of bright home-grown
talent, creating new and exciting opportunities for UAE nationals while
unlocking additional revenue streams for ADNOC and the UAE.”
Eni CEO,
Claudio Descalzi commented: “In our recent past, Eni have developed many new
initiatives along the value chain alongside ADNOC and we started a collaboration
aimed at achieving new solutions for energy transition. The launch of this new
global trading company represents an additional strategic step in our
partnership with ADNOC and OMV, a partnership that is stronger and better able
to face market dynamics. Our contribution in terms of know-how, operational
experience in trading processes and qualified people has accelerated the launch
of the venture to quickly reach this important milestone.”
Dr. Rainer
Seele, OMV CEO said: “The launch of AGT shows the strength of our partnership
across refining and trading. At OMV we strongly believe in the value of
integrated business as a platform from which to achieve maximum efficiency and
the best possible performance. ADNOC Global Trading will unlock an additional
level of integrated value creation for its partners. This is especially
important as we expect the oil, gas and derivatives markets to remain
challenging and volatile.”
From go-live, AGT offers a broader range of
integrated services to its customers and enables ADNOC to further commercialize
its refined product sales with new delivery, pricing and hedging options. AGT
will work closely with ADNOC L&S, the UAE’s leading shipping company, to
provide greater access to ADNOC’s global network of shipping and storage
solutions. Traders will be able to offer bespoke arrangements including global
delivery, shipping and storage of refined products where they are
needed.
AGT is ‘born big’ with refined products from ADNOC Refining
available to trade and sell, extending the reach of ADNOC products to new
markets and customers. The ADNOC Global Trading teams will trade light and
middle distillates on their trading books, including jet, naphtha, diesel, and
gasoline as well as speciality products.
In addition and in coordination
with ADNOC Trading, the 100% owned ADNOC entity focused on crude trading, AGT
will ensure non-system feedstock supplies to ADNOC Refining.
In the ramp
up to go-live, AGT has developed the policies, IT systems and procedures that
will allow safe and responsible trading activity. AGT is already working closely
with ADNOC Refining to actively support refinery optimization, enhancing
decision-making for production flows and providing greater insights into pricing
and market opportunities.
AGT has attracted global and local talent of
the highest caliber from the local market, from international trading houses,
ADNOC Group companies and from partners Eni and OMV. Each trading team consists
of a combination of experienced traders and local talent, such as refined
products experts who have in-depth knowledge of the markets, longstanding
relationships with existing customers and knowhow of ADNOC production and export
systems.
The state-of-the-art trading systems and expert teams oversee
the full life cycle of every trade and provide risk management solutions. The
teams will employ market and price intelligence and the full spectrum of trading
tools, such as hedging to manage and control risk.
Khaled Salmeen, ADNOC
Executive Director of Marketing, Supply and Trading said: “Trading allows ADNOC
to offer our customers new and additional services and tools, ultimately
enabling both ADNOC and its customers to better manage pricing risks and derive
more value from every barrel that we produce, refine, ship, and sell. ADNOC
Global Trading has the right systems, policies, procedures and people in place
to start trading. We look forward to offering new, integrated solutions to our
local and international customers, while unlocking value to ADNOC and its
partners.”
ADNOC Global Trading becomes part of the growing International
Financial Center at Abu Dhabi Global Market (ADGM), alongside ADNOC Trading,
which completed its first derivatives trade earlier this year and ICE Futures
Abu Dhabi (IFAD), which will launch Murban Futures on the 29th March 2021,
subject to the completion of remaining regulatory approvals. The opening of two
ADNOC trading offices at ADGM reinforces its status as a leading commodities
trading hub for the Middle East region.
As MRC reported
previously, in early May, 2020, Abu Dhabi National Oil Company (ADNOC) began a
gradual restart of its Ruwais oil refinery complex after a scheduled maintenance
shutdown. The Ruwais complex, which has capacity of 835,000 barrels per day, was
shut down early this year, the ADNOC spokesman said.
And in late July
2019, ADNOC said its Ruwais refinery west cracker was offline for maintenance.
Ethylene
and propylene are feedstocks for producing polyethylene (PE) and polypropylene
(PP).
According to MRC's ScanPlast
report, Russia's estimated PE consumption totalled 1,760,950 tonnes in the
first ten months of 2020, up by 3% year on year. Only high density polyethylene
(HDPE) and linear low density polyethylene (LLDPE) shipments increased. At the
same time, PP shipments to the Russian market reached 978,870 tonnes in
January-October 2020 (calculated using the formula: production minus exports
plus imports minus producers' inventories as of 1 January, 2020). Supply of
exclusively of PP random copolymer increased. |
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