ADNOC and Abu Dhabi Future Energy Company (Masdar) have signed a Strategic Collaboration Agreement (SCA) with Microsoft on a range of artificial intelligence (AI) and low-carbon initiatives in the UAE and globally.
The initiatives aim to decarbonize the current energy system and enable a sustainable energy future. The announcement was made at ADIPEC, which is currently taking place in Abu Dhabi.
As part of the SCA, the companies will evaluate opportunities to power Microsoft’s data centers with renewable energy through Abu Dhabi Future Energy Company (Masdar), which ADNOC is a shareholder in. They will also explore opportunities to use AI to advance carbon capture and storage projects as well as low-carbon ammonia and hydrogen projects.
Furthermore, the SCA will explore opportunities to accelerate AI deployment across ADNOC’s operations to enhance efficiencies, drive methane reduction initiatives aligned to the Oil and Gas Decarbonization Charter to achieve near zero methane by 2030, minimize emissions, and strengthen biodiversity monitoring to better protect the environment.
Dr. Sultan bin Ahmed Al Jaber UAE Minister of Industry & Advanced Technology MD & Group CEO – ADNOC Chairman – Masdar
“We are at a pivotal moment for human progress driven by three megatrends, the rise of the global south, the accelerated energy transformation, and the rapid growth of AI. AI is an era-defining innovation that is altering the pace of change itself – resetting the boundaries of productivity and the possibilities of progress. It is also creating a power surge that nobody accounted for just 18 months ago. By collaborating to solve AI’s near-term challenges, we can also unlock AI’s long-term benefits across the energy value chain – helping to secure a sustainable and prosperous future for generations to come.”
Brad Smith, Vice Chair and President of Microsoft said that, “This new era calls on us to do two things at once: meet the AI moment while transitioning to a more sustainable economy. In a world that will need more electricity, not less, it’s imperative that we generate more carbon-free energy to power AI and use that very same technology to increase capacity, optimize transmission, and expand energy access to communities around the world. This isn’t a journey any of us can take alone. It requires working across technology, energy, science, and policy sectors to find solutions and accelerate our collective progress.”
“AI will play a key role in accelerating the energy transition. We look forward to working with ADNOC, Microsoft, and other key partners, to help AI achieve its potential by delivering clean energy to the data centers that will power the AI future,” noted Mohamed Jameel Al Ramahi, CEO of Masdar.
