Borouge awards ADNOC Logistics & Services contract to transport cargo from Ruwais container terminal

Borouge has awarded ADNOC Logistics & Services (ADNOC L&S), the shipping and services arm of ADNOC, a three-year contract to transport 11 million tonnes of polymers from its Ruwais container terminal in Abu Dhabi to Khalifa and Jebel Ali ports.

The contract was signed by Ahmed Omar Abdulla (right), CEO of Borouge, and Captain Abdulkareem Al-Masabi, CEO of ADNOC L&S, in a ceremony held at Borouge’s stand during ArabPlast 2019, being held in Dubai World Trade Centre during 5-8 January 2019.
The contract was signed by Ahmed Omar Abdulla (right), CEO of Borouge, and Captain Abdulkareem Al-Masabi, CEO of ADNOC L&S, in a ceremony held at Borouge’s stand during ArabPlast 2019, being held in Dubai World Trade Centre during 5-8 January 2019.

The contract, awarded after a rigorous competitive bidding process, recognises the diverse capabilities of ADNOC L&S and strengthens partnership with Borouge to support the expansion of activities at its Ruwais terminal.

In May 2018, ADNOC L&S signed a 5-year agreement with Borouge for the management of its cargo handling at the terminal of up to 800,000TEUs (twenty-foot equivalent units) per annum, requiring a broad range of services, from skilled labour and management expertise, together with safety and operational excellence.

“This is the second cooperation of its kind between Borouge and ADNOC L&S in which we have entrusted the handling operations of our shipping cargo at the Ruwais container terminal,” said Ahmed Omar Abdulla, CEO of Borouge.

“This represents another developmental milestone for Borouge and a successful step towards strengthening our supply chain activities, to ensure the best and safe delivery of our products to customers around the world. We are confident that our shipping activities will be further enhanced thanks to the expertise of ADNOC L&S, which is carrying out all the handling operations of Borouge packed and palletised products and bulk loaded containers in Ruwais.

Abdulkareem Al-Masabi, CEO of ADNOC L&S, said: “By combining our assets and experience in shipping, onshore logistics and onshore services, we have created a fully-integrated marine and logistics company, now the largest in the region, to service customer’ needs across the oil and gas value chain.”

Al-Masabi added: “We offer a distinct advantage to companies such as Borouge, in that we can support their diverse needs within port and shipping operations. We are confident that our partnership with Borouge is a model that can be replicated to win new business with both regional and international players.

Through a combined programme of strategic partnerships and investments, ADNOC will increase its range and volume of high-value downstream products, secure better access to growth markets around the world and create a manufacturing ecosystem in Ruwais that will stimulate in-country value creation, private sector growth and specialised job opportunities. As the company grows its downstream business, new opportunities will also be created for ADNOC L&S.

The contract with Borouge supports ADNOC’s 2030 strategy to grow its downstream business, which will see the company tripling production of petrochemicals to 14.4 million tonnes per annum by 2025.

In May 2018, at its Downstream Investment Forum, ADNOC unveiled a blueprint to create the world’s largest integrated refining and petrochemicals complex, in Ruwais, enabling the company to further stretch the value of every barrel it produces. Implementation of the blueprint is now underway.

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