The Abu Dhabi National Oil Company (ADNOC) announced the launch of XRG, described by the company as a new “lower-carbon energy and chemicals investment powerhouse,” with a portfolio of assets of $80 billion, and a goal to more than double its asset value by 2035.

According to ADNOC, XRG’s growth will be driven by key megatrends, including the transformation of energy, exponential growth of AI, and the rise of emerging economies.

The new investment company will initially focus on the development of three core strategic platforms, including Global Chemicals, International Gas, and Low Carbon Energies.

ADNOC said that the Global Chemicals platform aims to become a top 5 global chemicals player, providing chemical and specialty products to meet an estimated 70% growth in chemicals demand by 2050. The International Gas platform aims to help meet the anticipated 15% increase in global demand for natural gas over the next decade, described by ADNOC as “a lower carbon transition fuel,” and the anticipated 65% increase in demand for LNG by 2050. The Low Carbon Energies platform will invest in low carbon fuels and decarbonization technologies, with ADNOC specifically citing expected growth in low-carbon ammonia demand of 70-90 million tonnes per year from near zero today.

Dr. Sultan Al Jaber, ADNOC Managing Director and Group CEO, said:

“In line with our Board mandate to prioritize transformational growth, XRG marks a bold new chapter for ADNOC. Building on our unrivalled track record in energy and investments, network of global partners, and strategic market access, XRG will drive sustainable economic growth, foster technological innovation, and deliver the energy and products needed to improve lives around the world.”