Abu Dhabi state gas company to sell 4 per cent of shares in IPO

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The Abu Dhabi National Oil Company's gas processing firm said Friday it plans to sell 4 per cent of its shares to local investors in the latest initial public offering to be made by a state-run energy company in the Middle East.

The move follows a similar IPO by the Saudi oil giant Aramco in 2019 that raised some $30 billion, and comes months before the United Arab Emirates is set to host this year's U.N. climate talks.

ADNOC has access to 95 per cent of the UAE's natural gas reserves, the world's seventh largest. It supplies gas to more than 60 per cent of the local market and exports to more than 20 countries. The company had a net income of $4.2 billion in the first 10 months of 2022, up from $3.6 billion in all of 2021.

"Natural gas is central to the energy transition," Khaled Al Zaabi, acting group CFO of ADNOC, said in a press release. "ADNOC Gas is well-positioned to responsibly harness our significant natural gas resources, while driving efficiencies, delivering value, and reliably supplying this key fuel to meet the world's growing energy needs."

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Abu Dhabi National Oil Company to float 4% of its gas business in IPOADNOC Gas’s offering is set to be open from Feb. 23 to March 2 for institutional investors, while retail investors can subscribe until March 1
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