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FinanceAbu Dhabi approves $6.2B gas project to boost UAE supply by 600 mln cf/d
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Abu Dhabi's National Oil Company (ADNOC) has approved a $6.2 billion investment to develop the Umm Shaif Gas Cap, an offshore oil and gas field, in partnership with TotalEnergies, Eni, and China National Petroleum Corporation. The project is expected to add over 600 million cubic feet per day of natural gas production by 2030, equivalent to nearly 10% of the UAE's current daily gas consumption. The development is part of ADNOC's integrated gas strategy to expand domestic supply and LNG exports, targeting 47 million metric tons of LNG capacity per annum by 2035. The investment gains urgency due to ongoing disruptions in the Strait of Hormuz, which has effectively closed to major producers like Qatar, and the expiration of a UAE gas import deal with Qatar in 2032. The UAE, which left OPEC earlier this year, also aims to boost oil production to over 5 million barrels per day by next year.
Source report
A truck drives past an ADNOC Gas, a subsidiary of the Abu Dhabi National Oil Company, facility in Abu Dhabi on March 3, 2026. Ryan Lim | AFP | Getty Images
Abu Dhabi's National Oil Company (ADNOC) has approved a $6.2 billion investment to develop the Umm Shaif Gas Cap, a massive offshore oil and gas field, as part of its strategy to expand natural gas production and liquefied natural gas (LNG) exports.
Key Details
- The development is expected to add more than 600 million cubic feet per day of gas production by 2030.
- This volume is equivalent to nearly 10% of the UAE's current daily gas consumption.
- ADNOC is developing the field alongside TotalEnergies, Eni, and China National Petroleum Corporation.
Strategic Importance
Disruptions in the Strait of Hormuz — which typically handles around 20% of the world's LNG trade — have underscored the project's importance and highlighted the vulnerability of global energy supplies.
The investment comes as the UAE seeks to monetize its gas reserves while strengthening domestic energy security and bolstering its position in global LNG markets. The country holds the world's seventh-largest proven gas reserves, in addition to its over 4 million barrels per day of oil production.
The UAE left OPEC earlier this year and now has no output limits. Abu Dhabi is hoping to surpass 5 million barrels per day of oil production by next year.
ADNOC's Vision
"ADNOC is accelerating its integrated gas strategy to further harness the UAE's vast gas resources and expand our global LNG platform, as global demand for natural gas continues to rise."
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— Sultan Ahmed Al Jaber, ADNOC CEO
ADNOC is targeting 47 million metric tons of LNG capacity per annum by 2035 as it expands production, trading, and export capabilities.
Historical Context
Umm Shaif has played a central role in Abu Dhabi's energy industry for more than six decades. The field was home to Abu Dhabi's first offshore well and supplied crude oil for the emirate's first oil exports in 1962.
Geopolitical and Domestic Pressures
The strategy has gained urgency as the Middle East war continues to disrupt global energy markets, with the Strait of Hormuz remaining effectively closed — especially to major producers like Qatar.
The UAE's gas push is increasingly necessary as a third of its domestic demand is supplied by a deal with Doha via pipeline, which is set to expire in 2032.
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Abu Dhabi approves $6.2 billion gas project to boost UAE supply