Long-Term Partnership to Strengthen Energy Security and Industrial Expansion
ADNOC Gas has entered a landmark 20-year natural gas supply agreement with EMSTEEL, valued between $3.5 and $4.2 billion. The deal, effective from January 2027, will ensure a stable and reliable supply of lower-carbon natural gas to power EMSTEEL’s operations. This long-term partnership strengthens the UAE’s industrial sector, supports national economic growth, and reinforces ADNOC Gas’ role as a key provider of cleaner energy solutions.
The agreement reflects a deepening collaboration between two major national companies. As the UAE continues its push toward industrial diversification and sustainable development, this partnership is designed to secure the energy needs of one of the country’s largest manufacturing groups while supporting long-term efficiency and competitiveness.
Supporting the UAE’s Strategic Industrial Goals
The new supply agreement aligns closely with the UAE’s economic vision, which focuses on strengthening domestic manufacturing, enhancing energy efficiency, and promoting sustainable industrial practices. By ensuring EMSTEEL receives a dependable supply of lower-carbon natural gas, ADNOC Gas is enabling the company to scale up production while maintaining a strong commitment to environmental responsibility.
Lower-carbon natural gas is a key part of the UAE’s industrial energy mix. It offers improved efficiency, reduced emissions, and reliable performance that supports large-scale operations. This is especially important for EMSTEEL, whose manufacturing processes rely on continuous, high-quality energy supply to operate safely and competitively.
EMSTEEL, the largest publicly listed steel and building materials producer in the UAE, will benefit from a major boost to its long-term planning capabilities. With energy security guaranteed through to 2047, the company can invest confidently in production expansion, advanced technologies, and new sustainability initiatives.
Highlighting ADNOC Gas’ National Importance
The announcement of this major deal comes shortly after the ADNOC Board of Directors held its annual meeting at ADNOC Gas’ Habshan complex. This is one of the most strategically important sites within the company’s operational network. The decision to meet at Habshan reflects the growing recognition of ADNOC Gas as a cornerstone of the UAE’s economic and industrial development.
During the visit, senior leadership reviewed ADNOC Gas’ ongoing programs, including expansions in gas processing, upgrades to compression facilities, and various sustainability-focused projects. These efforts are designed to elevate operational efficiency, strengthen supply reliability, and support the UAE’s overarching goal of becoming a global leader in responsible energy production.
The board’s presence at Habshan is also a strong signal of confidence in the company’s trajectory. ADNOC Gas continues to invest in modernising infrastructure and enhancing its capabilities to support domestic and international customers. The long-term agreement with EMSTEEL represents another step in cementing the company’s role as a reliable energy partner for large-scale industries.
EMSTEEL’s Commitment to Green Manufacturing
EMSTEEL has built a reputation as a leading manufacturer of steel and building materials, serving both local and international markets. The company exports to more than 70 countries and operates advanced facilities with substantial production capacity. As global demand for low-carbon and sustainably produced steel continues to rise, EMSTEEL is working to expand its portfolio of environmentally conscious products.
The new agreement will support the company’s ambitions to further reduce emissions and increase resource efficiency. Natural gas is a critical component in green steel production, and EMSTEEL’s commitment to greener processes aligns strongly with the UAE’s Net Zero by 2050 initiative. By securing a long-term supply of lower-carbon energy, EMSTEEL is better positioned to strengthen its global competitiveness and enhance its contribution to the nation’s sustainability goals.
The partnership also supports the UAE’s industrial strategy known as Operation 300 Billion, which aims to significantly boost the industrial sector’s overall contribution to the national economy. With secure access to energy, EMSTEEL can accelerate its expansion plans, generate new employment opportunities for UAE nationals, and increase its local and international market presence.
The Role of ADNOC Gas in National Industrial Development
ADNOC Gas supplies approximately 60 percent of the UAE’s sales gas requirements, making it an essential pillar in the nation’s energy infrastructure. The company’s operations span the entire value chain, including feedstock processing, fractionation, and product distribution.
The new agreement further strengthens ADNOC Gas’ position as a vital enabler of industrial resilience. By offering reliable long-term solutions, the company supports steady economic growth and ensures manufacturing sectors have access to the clean and efficient energy required to remain competitive.
As the UAE continues diversifying its economy, industries such as construction, manufacturing, and advanced materials rely heavily on consistent energy supply. ADNOC Gas’ investment in infrastructure, innovation, and sustainability is essential in meeting these needs and guiding the country toward a more resilient future.
Enhancing EMSTEEL’s Production Capabilities
EMSTEEL operates one of the region’s most integrated and advanced manufacturing platforms. With 16 state-of-the-art facilities located in Abu Dhabi, the company has an annual production capacity of 3.5 million tonnes of steel and 4.6 million tonnes of cement. These capabilities support some of the UAE’s most iconic infrastructure projects and large-scale developments.
The partnership with ADNOC Gas ensures the company can continue meeting rising demand while maintaining high standards of operational efficiency. Natural gas provides a reliable, cost-effective, and cleaner source of energy for the heavy industrial processes involved in steel manufacturing.
With guaranteed supply over two decades, EMSTEEL can make substantial advancements in automation, energy management, and technological upgrades. This will enable the company to widen its product range, expand into new markets, and further strengthen its leadership position in the region.
A Collaborative Step Toward Long-Term Prosperity
The $4bn ADNOC Gas and EMSTEEL agreement represents more than a commercial transaction. It marks a collaborative commitment to shaping the future of the UAE’s industrial landscape. Both companies are aligned in their mission to support national progress through strong infrastructure, cleaner energy solutions, and long-term value creation.
This partnership enhances energy security, promotes industrial stability, and drives sustainable economic development. It also highlights the synergy between two national champions working together to elevate the UAE’s manufacturing capabilities and global competitiveness.
Looking Ahead
As the UAE continues advancing its industrial and sustainability goals, reliable energy partnerships will play a crucial role. The long-term agreement between ADNOC Gas and EMSTEEL is a key milestone in this journey. It positions both companies to contribute meaningfully to the nation’s growth, innovation, and environmental commitments.
Through strategic collaboration, investment in advanced technologies, and shared vision for progress, ADNOC Gas and EMSTEEL are shaping a strong, resilient, and sustainable future for the UAE.
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