Abu Dhabi’s ADNOC seeks $1bn in energy efficiency savings

State-owned Abu Dhabi National Oil Company has announced plans to improve its energy efficiency by 10 per cent by 2020 to increase profitability and cut costs.

Under the plans the company aims to reduce its gas consumption by 156 million cubic feet per day, saving $1bn by 2020.

To do so it will “optimise energy use, consumption and performance across a range of industry related activities, and upgrade systems to measure and report data for better energy planning across the organisation”.

“These efficiencies are going to drive further cost savings and enable us to create maximum value from our gas resources. This will not only improve profitability, it will also enable ADNOC to achieve its strategic goal of meeting Abu Dhabi’s rising energy demand from domestic gas supplies,” said said Omar Al Suwaidi, director of gas management at ADNOC Group.

ADNOC is seeking efficiency savings under a five-year business plan approved by Abu Dhabi’s Supreme Petroleum Council in November.

The plans include the use new technologies to enhance oil and gas recovery, a group wide procurement system and new key performance indicators for employees.

Read: Abu Dhabi’s Supreme Petroleum Council approves ADNOC strategy

In October the firm said it would consolidate the operations of three of its shipping, marine and services companies into one firm in order to increase efficiency.

Abu Dhabi National Tanker Co, Petroleum Services Co and Abu Dhabi Petroleum Ports Operating Co will be combined.

Read: UAE oil giant ADNOC to consolidate three firms in efficiency drive