Japan Bank for International Cooperation (JBIC) has signed a general agreement with Abu Dhabi National Oil Company (Adnoc) to provide a credit line of up to US$3 billion. The Japanese export credit agency will contribute US$$1.8 billion.

The proceeds will fund projects related to decarbonization and energy transition to be implemented by Adnoc or its subsidiaries in the United Arab Emirates or internationally.

Adnoc, an energy company wholly owned by the Emirate of Abu Dhabi, aims to achieve net zero by 2045. It promotes renewable energy, hydrogen and ammonia as fuel sources, carbon capture and storage (CCS), and other green energy initiatives.

According to JBIC, Abu Dhabi has been a stable and important supplier of crude oil to Japan for more than 40 years, and as such, is a strategic partner for Japan's energy resource strategy. In addition, Abu Dhabi has high potential in the field of decarbonization and energy transition as it has abundant resources for renewable energy and subterranean structures suitable for CCS.

The credit line aims to support Adnoc’s initiatives for decarbonization and create opportunities for collaboration with Japanese companies.