ADNOC and Abu Dhabi National Energy Company (TAQA) have signed a 27-year Utilities Purchase Agreement (UPA) to provide critical infrastructure and services to the TA’ZIZ Industrial Chemicals Zone in Ruwais Industrial City in Abu Dhabi, according to a press release by ADNOC.
UPA is a long-term commercial contract under which an industrial operator or project developer agrees to buy essential utilities from a designated supplier under predefined terms.
Under the long-term commercial contract, ADNOC and TAQA will jointly develop a central utilities project to support TA’ZIZ’s chemicals and transition-fuels facilities. The scope of the agreement covers both the construction phase and long-term offtake, ensuring the delivery of electricity grid connections, steam production, process cooling, and comprehensive water and wastewater infrastructure.
TA’ZIZ, a joint venture between ADNOC and ADQ, will establish and own a dedicated service management company to act as the sole offtaker for these utilities. This structure is designed to provide a stable, integrated platform for international and local industrial partners operating within the zone.
The development is a major milestone for the TA’ZIZ ecosystem, which serves as a pillar of the UAE’s industrial diversification strategy. The zone is expected to begin production in 2028, with a total output target of 4.7 million tonnes per annum (mtpa).
The TA’ZIZ facility will produce a wide range of essential industrial chemicals, including: Transition Fuels, Polymers, and Chemicals.
TA’ZIZ is a large-scale industrial and chemicals development initiative in the UAE, focused on expanding the country’s downstream manufacturing and reducing reliance on imports of key industrial products.
In a separate development, TAQA confirmed the continued expansion of its Generation business across the region. Key projects currently under development include the 1-gigawatt (GW) Al Dhafra gas turbine project in the UAE and 3.6 GW of new high-efficiency power capacity in Saudi Arabia. The Saudi projects, Rumah 2 IPP and Al Nairyah 2 IPP, are being developed in partnership with JERA and AlBawani.
