OIL AND GAS NEWS

Adnoc announced the launch of its Industrial Resilience Programme at the start of the fifth edition of ‘Make it in the Emirates’ forum, introducing five initiatives that will strengthen UAE supply chains, accelerate local manufacturing, reinforce business continuity capabilities and develop sustainable industrial capacity across strategic sectors.

The Industrial Resilience Programme builds on Adnoc’s hugely successful In-Country Value (ICV) programme and encourages Adnoc’s contractors to prioritise local sourcing for high-priority products that can be domestically produced to serve multiple sectors.

The programme will future-proof Adnoc’s value chain and mitigate the company’s exposure to global supply chain disruptions.

It will also position Made in the Emirates products as the first choice for Adnoc’s projects, supporting the growth of local manufacturers and the UAE’s industrial base. 

Omar Alnuaimi, Adnoc’s Acting Group Chief, Commercial and ICV, said: “In line with the UAE leadership’s directives to strengthen industrial resilience and accelerate local manufacturing, Adnoc is delighted to launch its Industrial Resilience Programme, building on the success of its In-Country Value programme in driving economic and industrial growth. We are introducing a suite of strategic initiatives to expand manufacturing capacity and provide long-term demand visibility to industry partners, and ensure Made in the Emirates products are first-choice across all Adnoc projects. We look forward to working with our local and international partners to maximise the benefits of this programme and advance the UAE’s industrial base.”

The Industrial Resilience Programme is built around five core initiatives that will collectively drive localisation, resilience and industrial growth:

• An enhanced ICV model that moves beyond one-size-fits-all procurement toward fit-for-purpose award strategies prioritising investment value, manufacturing depth and workforce development. 

• “Local+,” a targeted initiative requiring Adnoc EPC contractors to prioritise Made in the Emirates products from approved national manufacturers that meet Adnoc’s technical and qualification standards across defined priority categories, and are commercially competitive. During the Make it with Adnoc Forum on May 3, Adnoc announced the first 70 local manufacturers selected for the Local+ list, which will continue to expand over time to widen the local supplier base. 

• An “ICV+” initiative provides a top-up on ICV credit for purchases from local manufacturers, reflected in both Adnoc Project and EPC Contractor ICV certificates—to encourage EPC contractors to source from national suppliers rather than overseas. 

• An “Adnoc Multiplier” tool which enables national manufacturers to increase the locally produced content used in their final products, maximising ICV impact and strengthening local supply chains.

• A “Build-to-Demand” initiative that provides manufacturers with long-term demand visibility and commitment to establish or expand local production of critical industrial products supporting Adnoc’s projects and core operations. The initiative covers strategic products essential to business continuity and supply-chain resilience

The Industrial Resilience Programme is part of Adnoc’s successful ICV programme launched in 2018 and reinforces Adnoc’s support for ‘Make it in the Emirates’, the national initiative which aims to localise strategic, vital, and priority industries.

Adnoc continues to progress its target to locally manufacture $24.5 billion (AED90 billion) worth of products by 2030.

These include more than 150 high-priority industrial products across its value chain, including drilling equipment, process chemicals, valves, oil country tubular goods (OCTG), and other equipment.

The company has already signed local manufacturing agreements with UAE and international companies worth AED80 billion since 2022.

In addition, Adnoc’s partners have invested AED4.5 billion in new factories and advanced manufacturing capabilities across the country.

Building on these achievements, Adnoc is set to drive AED220 billion into the UAE economy over the next five years through the ICV programme. -OGN/TradeArabia News Service

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