TA’ZIZ Awards AED7.34bn for Major Infrastructure Projects at ADIPEC 2024

Photo : Abu Dhabi Media Office

TA’ZIZ has announced the awarding of over $2 billion (AED7.34 billion) in engineering, procurement, and construction (EPC) contracts to develop critical infrastructure for its growing chemicals and transition fuels ecosystem in Al Ruwais Industrial City, located in the Al Dhafra Region. The awarded contracts will play a key role in advancing the TA’ZIZ chemicals initiative, which is a crucial part of ADNOC’s strategy to diversify and strengthen the UAE’s industrial base.

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A significant portion of these contracts is expected to reinvest in the UAE's economy under ADNOC’s In-Country Value (ICV) program, which is designed to stimulate local economic growth and foster long-term diversification in Al Dhafra. In addition to boosting the UAE's economy, the awards will support the development of a domestic low-carbon chemicals supply chain. This aligns with ADNOC’s ambitions to elevate its chemicals division and emerge as one of the top five global chemicals producers.

Mashal Saoud Al-Kindi, CEO of TA’ZIZ, highlighted the importance of these infrastructure contracts, describing them as pivotal milestones in TA’ZIZ’s mission to build a world-class, integrated chemicals ecosystem. He emphasized that the initiative will not only meet the increasing global demand for low-carbon chemicals and transition fuels but will also significantly contribute to the industrialization and diversification of the UAE economy by creating new local value chains.

TA’ZIZ plans to begin production by 2027, targeting an annual output of 4.7 million tonnes of chemicals by 2028. The range of chemicals produced will include several types that have not been manufactured in the UAE previously, such as caustic, ethylene dichloride, vinyl chloride monomer, polyvinyl chloride, low-carbon ammonia, and methanol. This new production will enable the local manufacturing of a wide array of products, particularly for the construction, agriculture, and healthcare sectors.

The awarded EPC contract for the chemicals port, which will handle the export of chemicals and transition fuels, was granted to NMDC Group (formerly known as National Marine Dredging Company). The port, once completed, will serve as a key operational hub, ensuring seamless connectivity to regional and global markets and facilitating the import of essential raw materials.

The EPC contract for the chemicals terminal, which will include the construction of storage facilities, tank-to-jetty and jetty-to-tank pipelines, and liquid product storage, was awarded to a joint venture between Rotary Engineering–Abu Dhabi and Advario, a leader in global energy and chemicals storage and logistics.

Further contracts awarded include the development of essential infrastructure for the 17-square-kilometer TA’ZIZ site, such as internal roads, security fencing, and buildings, which were assigned to Al Geemi Contracting. Additionally, an EPC contract will focus on the development of centralized utilities, including power transmission, steam, cooling water, and other critical utilities required to support the site’s manufacturing zones.

The establishment of a dedicated chemicals port and terminal will not only support the export of low-carbon ammonia and methanol from TA’ZIZ’s world-scale production facilities but also enhance the site’s ability to import necessary materials. This infrastructure will ensure efficient transportation and distribution of goods while providing the necessary power to support the extensive industrial activities planned for the area.

TA’ZIZ’s continued development of these critical infrastructure projects marks a significant step towards achieving its long-term goal of becoming a leader in the global chemicals market, all while contributing to the UAE’s sustainable economic growth and diversification objectives.