Borouge, a petrochemical company, has announced a new long-term agreement with ADNOC Logistics and Services (ADNOC L&S).
Through this partnership, ADNOC L&S will manage integrated logistics for Borouge to a new main logistical hub at Khalifa Port and KIZAD in Abu Dhabi.
The new agreement covers transportation and handling operations for Borouge-manufactured polymer products at Khalifa Port for export to international markets, complementing existing agreements between the two companies, Mubadala said.
The agreement will optimize the manufacturing and distribution value chain for Borouge and improve cost per unit, enabling competitive downstream growth of ADNOC’s petrochemicals and polymers business.
Under the terms of the agreement, both partners will harness their strengths to boost the UAE’s In-Country Value (ICV).
The new agreement will see 85 percent of its value flow back to the UAE’s economy, accelerating the development of critical local supply chain functions.
The partnership highlights the commitment of both partners to prioritize ICV, and power the growth of the UAE economy and its development.
Hazeem Sultan Al Suwaidi, Chief Executive Officer of Abu Dhabi Polymers Company (Borouge), said, “Our strategic collaboration with ADNOC L&S is key to realizing our growth strategy and ambitions.”
Captain Abdulkareem Al Masabi, Chief Executive Officer of ADNOC L&S, said, “As part of our smart growth strategy leading up to 2030, we are committed to providing integrated services for our customers, strengthening our position as ADNOC Group’s logistics platform and delivering more efficiency. We will continue to invest in long-term partnerships which generate greater value from our operations within the UAE.”
Rainer Hoefling, Chief Executive Officer of Borouge Pte, stated, “Our collaboration will further develop the delivery of our sustainable and differentiated solutions, to meet growing global customer demands.”