"XRG" The UAE’s global economic presence has been strengthened by establishing an integrated business platform in the Americas

ABU DHABI, 19 JULY / WAM / “XRG”, the international investment arm in the energy sector owned by “ADNOC”, continues to strengthen its presence in the Americas, as it works to build an integrated platform across the energy and industrial sectors, which contributes to expanding the economic presence of the UAE and consolidating its role as a long-term strategic investor and reliable global partner, despite the accelerating changes taking place in global energy markets.

Over the past months, XRG has made progress in implementing a number of strategic investments across the LNG, chemicals and advanced materials sectors, and in the field of gas exploration, development and production, in conjunction with the launch of a new integrated global platform for LNG trade and circulation in cooperation with ADNOC and ADNOC Gas.

These projects strengthen XRG’s position as one of the most prominent investors in the long-term growth of the energy sector in the Americas, and confirm the UAE’s role in employing capital globally to build a flexible business portfolio within vital sectors to ensure energy security, promote industrial development, and support future economic growth.

One of the most prominent works of this portfolio is the Rio Grande LNG project in the US state of Texas, which aims to export 30 million tons annually, and in which XRG owns shares in the five liquefaction units being constructed.

This investment strengthens the company’s presence in one of the largest liquefied natural gas export projects in the world, and supports its ability to benefit from American gas resources to meet the growing global demand for this vital resource.

The Rio Grande project is part of a larger and more comprehensive business portfolio, whereby XRG is building a global platform targeting the marketing and trading of 47 million tons annually of liquefied natural gas by 2035, and strengthening its presence in the Vaca Muerta basin in Argentina through a 32% stake in exploration, development and production areas that constitute a major part of the Argentina LNG project, which has a production capacity of 12 million tons annually.

The company is significantly expanding its presence in the chemicals and advanced materials sectors in North America through Covestro, Borouge International, and Nova Chemicals, a leading petrochemical company headquartered in Canada with operations across North America.

Covestro establishes XRG’s presence in the United States through an advanced manufacturing and innovation platform that supports a number of sectors, including automotive, construction, electronics and healthcare.

Covestro has expanded its operations and enhanced its ability to meet the demand for high-performance materials used in a wide range of industrial applications through its recent acquisition of a Vincorex production site in Freeport, Texas.

These actions confirm the strategic integration between XRG’s business portfolio in the fields of gas, chemicals and advanced materials, as the company implements investments along the value chain, starting from oil and gas molecules that are used in energy production and raw materials for various industries, all the way to advanced materials used in the manufacture of smartphones, medical devices, vehicles and buildings.

Through this, XRG consolidates its position as a supplier of materials that support industrial development and technological innovation, in addition to its role in the energy sector.

These investments represent strategic and commercial importance for the UAE, as XRG’s business portfolio in the Americas contributes to consolidating the country’s economic position in major high-growth global markets, deepening its participation in the energy sector infrastructure and industrial value chains, and enabling it to build a diversified international platform based on long-term partnerships.

The United States is the main market in the growth and expansion strategy implemented by XRG in the Americas. The UAE’s investments in American energy assets, through ADNOC, XRG, and Masdar, exceeded $85 billion across 19 states, supporting the areas of electricity generation, advanced chemicals, and energy sector infrastructure.

Philip Haddad, CEO of XRG’s branch in the Americas, said that the United States is an essential foundation for achieving the goal of “XRG” and building an integrated global platform for the energy and industrial sectors. Our work teams in Washington, D.C., and the state of Houston are cooperating with partners in various parts of the United States to identify investment opportunities that allow benefiting from the production of the energy and industrial sectors in the United States and linking it to the growing global demand for it. These efforts contribute to enhancing the growth and expansion of “XRG” and consolidating the UAE’s role as a long-standing international investor. Long term.

All of these steps embody the UAE’s aim to invest in businesses characterized by the potential to achieve strong performance across market cycles, contribute to ensuring global energy security, and benefit from the increasing demand for electricity as a result of the growth of artificial intelligence data centers and the rise in global demand for liquefied natural gas, in addition to supporting the manufacturing sector.

Through its assets and partnerships extending across liquefied natural gas projects in Texas, chemicals in North America, and gas in Argentina, XRG is working to build a platform that contributes to consolidating the UAE’s position as a global investor in infrastructure, materials and trade networks that shape the next stage of industrial growth, and not just as an energy supplier.

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