Industry First as ADNOC Co-Loads LPG and Propylene onto Same Vessel in Ruwais

Innovative approach reduces shipping costs and generates greater value

  
Industry First as ADNOC Co-Loads LPG and Propylene onto Same Vessel in Ruwais

Trial operation safely and successfully completed

ADNOC pursing a more proactive and adaptive approach to marketing and trading

Abu Dhabi: The Abu Dhabi National Oil Company (ADNOC) announced, today, it has safely completed the first co-loading of Liquefied Petroleum Gas (LPG) and Propylene onto the same vessel, which was docked in Ruwais, the United Arab Emirates (UAE).

Under normal circumstances, LPG, which is produced by ADNOC Gas Processing, and Propylene, which is produced by ADNOC Refining, are transported separately. By successfully loading around 12,600 metric tons of Propylene and 33,000 metric tons of LPG onto a single vessel, freight rates were significantly reduced.     

Abdulla Salem Al Dhaheri, Director of Marketing, Sales and Trading at ADNOC, said: “Throughout ADNOC, we are focused on thinking differently to deliver greater value and more efficient operations. This pioneering procedure, the first of its kind in our industry, has the potential to generate significant value for ADNOC.

“Shipping costs, or freight rates as they are more commonly referred to, constitute a significant amount when delivering a product to customers and end-users. By co-loading product that is bound for a particular customer, or location, we are able to deliver substantial cost-savings.” 

To enable the co-loading of LPG and Propylene, which must be stored at different temperatures, ADNOC conducted a number of workshops with its customers, product specialists and ADNOC Group Companies involved in the loading operation.     

Al Dhaheri added: “We are constantly challenging ourselves, and our partners and customers, to think creatively and identify new opportunities that deliver value and mutual benefits to our organizations. A number of innovative proposals have been put forward, and many have been progressed. This new practice could change the market approach to loading Propylene onto larger ships and reduce Propylene freight rates dramatically. For me, this really represents the new, progressive and agile organization that ADNOC has become.”

In line with its strategy to maximize value from its downstream refining, petrochemical and gas processing operations, ADNOC Gas Processing produces up to 10.5 million metric tons of LPG per annum, while ADNOC Refining produces up to 1.7 million metric tons per year of Propylene.

-Ends-

About ADNOC
ADNOC is one of the world’s leading diversified energy and petrochemicals groups with a daily output of about 3 million barrels of oil and 10.5 cubic feet of natural gas. With 14 specialist subsidiary and joint venture companies, ADNOC is a primary catalyst for the UAE’s growth and diversification.To find out more visit www.adnoc.ae 

© Press Release 2018

Disclaimer: The contents of this press release was provided from an external third party provider. This website is not responsible for, and does not control, such external content. This content is provided on an “as is” and “as available” basis and has not been edited in any way. Neither this website nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this press release.

The press release is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Neither this website nor our affiliates shall be liable for any errors or inaccuracies in the content, or for any actions taken by you in reliance thereon. You expressly agree that your use of the information within this article is at your sole risk.

To the fullest extent permitted by applicable law, this website, its parent company, its subsidiaries, its affiliates and the respective shareholders, directors, officers, employees, agents, advertisers, content providers and licensors will not be liable (jointly or severally) to you for any direct, indirect, consequential, special, incidental, punitive or exemplary damages, including without limitation, lost profits, lost savings and lost revenues, whether in negligence, tort, contract or any other theory of liability, even if the parties have been advised of the possibility or could have foreseen any such damages.

More From Press Releases