ADNOC Carbon Capture Initiatives for 2025: Key Projects, Strategies and Market Impact

ADNOC’s Ambitious Journey to Net-Zero: A Deep Dive into Sustainability Initiatives

ADNOC, the Abu Dhabi National Oil Company, is making significant strides towards a lower-carbon future. Recognizing the urgency of climate action, ADNOC has committed substantial resources and forged strategic partnerships to redefine carbon capture and storage (CCS). Their dedication is evident in their ambitious targets: increasing carbon capture capacity to 5 million tonnes annually by 2030, with a longer-term goal of 10 million tonnes per year. Beyond CCS, ADNOC has publicly stated its aim to achieve net-zero emissions by 2045 and eliminate methane emissions by 2030, positioning itself as a leader in the energy transition. ADNOC’s Shah Field has already achieved a carbon intensity of 0.1 kilograms of carbon dioxide equivalent per barrel of oil produced, showcasing the company’s commitment to reducing its environmental footprint. This blog post examines ADNOC’s strategic investments, collaborations, and technology deployments that underpin its journey toward a sustainable future.

ADNOC’s Financial Commitment to a Greener Future

ADNOC is backing its sustainability goals with substantial financial commitments. In 2025, ADNOC allocated an initial $23 billion to advance and accelerate lower-carbon solutions, including CCS. Furthermore, demonstrating an ongoing dedication to decarbonization, ADNOC committed an additional $8 billion in 2024 to projects, technologies, and lower-carbon solutions. ADNOC Gas also awarded $2.1 billion in contracts to enhance its LNG production infrastructure, integrating advanced CO2 capture technology as part of a broader $15 billion capital expenditure plan. This investment underscores ADNOC’s recognition of the importance of integrating sustainability into its core operations. ADNOC’s energy investment company, XRG, is considering investing up to $500 million in a Direct Air Capture (DAC) facility in Texas as part of a joint venture with Occidental, further highlighting the company’s commitment to investing in innovative solutions.

Table: ADNOC’s Investments in Lower Carbon Solutions

Collaborative Efforts for a Sustainable Transition

ADNOC recognizes that achieving its ambitious sustainability goals requires collaboration. The company has actively sought partnerships to leverage expertise and accelerate innovation across various domains. A key partnership with Occidental and XRG, established on May 16, 2025, focuses on evaluating a joint venture to develop a Direct Air Capture (DAC) hub in South Texas. This proposed facility, designed to capture 500,000 tonnes of carbon dioxide per year, highlights ADNOC’s commitment to exploring cutting-edge carbon removal technologies. Further strengthening its CCS capabilities, ADNOC contracted Flowserve on January 14, 2025, to supply dry gas seals and sealing systems for a carbon capture project at its Habshan gas plant. This project is integral to ADNOC’s broader decarbonization strategy. Another notable collaboration, announced on January 16, 2025, involves ADNOC Gas partnering with Baker Hughes and Levidian to deploy Levidian’s LOOP technology at the Habshan site. This innovative technology captures carbon from methane, transforming it into graphene and hydrogen, showcasing ADNOC’s focus on finding value in captured carbon. Furthermore, ADNOC partnered with Technology Innovation Institute (TII) and Advanced Science and Portfolio Innovation Research and Enterprise (ASPIRE) on January 16, 2025, to develop quantum solutions for carbon storage monitoring and battery optimization, demonstrating a commitment to cutting-edge R&D.

Table: ADNOC’s Strategic Partnerships for Sustainability

Beyond Carbon: ADNOC’s Industry-Wide Impact

ADNOC’s multifaceted approach to sustainability extends beyond direct carbon capture and storage, impacting the broader industry landscape. The partnerships with technology providers such as Flowserve and Levidian indicate a willingness to integrate advanced solutions into existing infrastructure. Deploying Levidian’s LOOP technology, which transforms captured carbon into graphene and hydrogen, demonstrates a commitment to not only reduce emissions but also to create valuable products from waste streams. The partnership with Baker Hughes further amplifies the impact, given Baker Hughes’ extensive reach and expertise in the oil and gas sector.

A Global Effort: ADNOC’s Expanding Footprint

While ADNOC’s core operations are based in the UAE, its sustainability initiatives extend beyond national borders. The proposed joint venture with Occidental for a DAC hub in South Texas exemplifies this global outlook. The investment in a DAC facility in the United States highlights ADNOC’s recognition that climate change is a global challenge requiring international collaboration. This strategic move allows ADNOC to tap into expertise and resources in other regions, furthering its sustainability goals and demonstrating a commitment to innovation on a global scale.

Innovation in Action: Emerging Technologies at the Forefront

ADNOC is actively exploring and deploying emerging technologies to enhance its carbon management capabilities. The deployment of first-of-its-kind fiber optics CCS seismic monitoring technology signals a commitment to advanced monitoring and verification techniques. This technology provides real-time data on carbon storage, ensuring the integrity and effectiveness of CCS projects. Furthermore, the collaboration with TII and ASPIRE to develop quantum sensing technology for improved CO2 storage monitoring highlights ADNOC’s investment in cutting-edge research and development. By embracing these innovative solutions, ADNOC is positioning itself at the forefront of technological advancements in the field of carbon management. The use of Flowserve’s dry gas seals and systems in the Habshan gas plant carbon capture project signifies the adoption of proven technologies to enhance operational efficiency and reliability.

Charting the Course: ADNOC’s Sustainable Trajectory

ADNOC’s strategic investments, collaborative partnerships, and technology deployments collectively paint a clear picture of the company’s commitment to a sustainable future. The focus on increasing carbon capture capacity, coupled with investments in emerging technologies and international partnerships, signals a long-term vision for reducing its environmental footprint. ADNOC’s commitment to achieving net-zero emissions by 2045 and eliminating methane emissions by 2030 reflects a proactive approach to addressing climate change. As ADNOC continues to advance its sustainability initiatives, it is poised to play a significant role in driving the energy transition and fostering a more sustainable future for the energy industry. The industry should watch for further developments and deployment of fiber optics CCS seismic monitoring technology, as well as the scaling up of the LOOP technology for methane conversion and carbon capture. The progress on the joint venture with Occidental for the DAC hub in Texas, as well as the additional final investment decisions (FIDs) on CCS projects contributing to the 10 million ton/year capacity goal by 2030 will be very important.

Frequently Asked Questions

What are ADNOC’s main sustainability targets?
ADNOC aims to achieve net-zero emissions by 2045, eliminate methane emissions by 2030, and increase carbon capture capacity to 5 million tonnes annually by 2030, with a longer-term goal of 10 million tonnes per year.

How much has ADNOC invested in lower-carbon solutions?
ADNOC has allocated significant funds to lower-carbon initiatives. In 2025, ADNOC allocated an initial $23 billion to advance and accelerate lower-carbon solutions, including CCS. Furthermore, ADNOC committed an additional $8 billion in 2024 to projects, technologies, and lower-carbon solutions.

Who are some of ADNOC’s key partners in its sustainability efforts?
ADNOC is collaborating with several organizations, including Occidental, Baker Hughes, Levidian, Technology Innovation Institute (TII), ASPIRE, and Flowserve, to leverage expertise and accelerate innovation.

What specific carbon capture technologies is ADNOC investing in?
ADNOC is investing in a range of carbon capture technologies, including advanced CO2 capture technology for LNG production, Direct Air Capture (DAC) through a potential joint venture with Occidental, and Levidian’s LOOP technology to transform captured carbon from methane into graphene and hydrogen.

Where are ADNOC’s sustainability initiatives taking place?
While ADNOC’s core operations are in the UAE, its sustainability initiatives extend beyond national borders, including potential investments in a Direct Air Capture (DAC) hub in South Texas, USA.

Want strategic insights like this on your target company or market?

Build clean tech reports in minutes — not days — with real data on partnerships, commercial activities, sustainability strategies, and emerging trends.