The Abu Dhabi National Oil Company (ADNOC) has announced a strategic investment in global storage terminal owner and operator VTTI BV (VTTI)
ADNOC will acquire a 10 per cent equity stake in VTTI. Following the transaction, VTTI will be owned 10 per cent by ADNOC, 45 per cent by IFM Global Infrastructure Fund (IFM GIF), an investment vehicle managed by IFM Investors, and 45 per cent by Vitol.
VTTI is an independent global owner of 15 hydrocarbon storage terminals across 14 countries. The VTTI storage network has a combined storage capacity of around 60 mmbbl (9.5mn cubic metre).
The investment in VTTI provides ADNOC access to storage capabilities across some of its main export markets, such as Asia, Africa and Europe, while also securing additional facilities at its main storage hub, Fujairah Port, UAE.
This transaction also contributes significantly to the development and growth of ADNOC’s global marketing, supply and trading platforms, providing greater access to knowledge and capabilities that will further enable ADNOC’s growth plans.
Sultan Ahmed Al Jaber, UAE Minister of State and ADNOC Group CEO, said, “VTTI’s diverse portfolio of storage assets across key target markets such as Asia, Africa and Europe, provides us with direct access to our customers around the world, a key building block to accelerating ADNOC’s transformation into a more integrated and commercially-minded global energy player.”
“As one of Fujairah’s largest storage operators, VTTI is a natural partner for ADNOC. This investment further strengthens ADNOC’s strategic position in Fujairah and supports the continued development of Fujairah as a strategic hub for our operations,” he added.
Rob Nijst, CEO VTTI, stated, “This exciting development is a testament to the professionalism and dedication of our VTTI colleagues. Since VTTI was founded 13 years ago, we have worked tirelessly to build a market-leading hydrocarbon storage company, capable of delivering the highest standards of service in major strategic locations. We are very pleased to have ADNOC as our new shareholder.”
