ADNOC vs. Saudi Aramco: How the Gulf’s Energy Giants Are Diversifying into Renewables, CCS & AI

The Gulf’s two most influential national oil companies — Abu Dhabi’s ADNOC and Saudi Aramco — aren’t just watching the energy transition. They’re shaping it.

Both are investing heavily in renewables, carbon capture and storage (CCS), and artificial intelligence (AI). But their playbooks differ in structure, speed, and emphasis.

Here’s a side-by-side look at what they’re doing and how it’s different.

🔹 ADNOC: Platform Plays, Rapid Scaling & AI as an Operator Edge

Renewables via Masdar

• Shareholder alongside TAQA & Mubadala.
• Target: 100 GW renewables by 2030 across Middle East, Europe, US & Asia.
• Gains global renewables scale without building an in-house developer.

Decarbonizing core barrels

• $3.8 B subsea HVDC link with TAQA to electrify offshore ops (first-of-its-kind in MENA).
• Net Zero operations by 2045, near-zero methane by 2030.

CCS at system level

• Doubled 2030 target to 10 mtpa.
• Building hubs like the 1.5 mtpa Habshan CCUS project.
• Low-carbon hydrogen & blue ammonia at TA’ZIZ (1 mtpa), with exports already to Europe & Asia.

AI as a force multiplier

• AIQ (JV with G42) develops energy-specific AI tools (e.g., RoboWell).
• Presight holds 51% stake, valuing AIQ at ~$1.4 B.
• $340 M contract to deploy agentic AI (ENERGYai) across upstream operations.

📌 Takeaway: ADNOC leverages partnership platforms (Masdar, TA’ZIZ, AIQ) while executing near-term decarbonization projects at scale.

🔹 Saudi Aramco: Low-Carbon Molecules, Mega-Scale CCS & AI Ecosystem Building

Renewables targets, hydrogen-first posture

• Up to 12 GW wind/solar by 2030.
• Leader in blue hydrogen/ammonia, targeting ~11 mtpa by 2030.
• Certified low-carbon shipments to Japan & South Korea.

CCS at hub scale

• Jubail CCS hub with Linde & SLB: 9 mtpa Phase 1 by 2027.
• Part of KSA’s interim sequestration goal of 44 mtpa by 2035.

AI & digital: from internal to market platforms

• Aramco Digital: $1.9 B in near-term digital investment.
• IBM Innovation Hub (AI, hybrid cloud, quantum).
• CNTXT JV with Cognite for industrial data platforms.
• Prosperity7 Ventures investing globally in AI & compute (e.g., Zhipu AI, TensorWave).

📌 Takeaway: Aramco prioritizes low-carbon fuels & hub-scale CCS while building a national AI/data ecosystem beyond oil & gas.

🔍 Key Differences in Strategy

1️⃣ Path to Renewables

• ADNOC: Global renewables scale via Masdar (100 GW).
• Aramco: 12 GW own target, heavier focus on hydrogen & CCS.

2️⃣ CCS Approach

• ADNOC: Networked platform (10 mtpa by 2030), modular projects.
• Aramco: Mega-hub model (9 mtpa Phase 1, 44 mtpa goal).

3️⃣ AI Model

• ADNOC: AI as operator advantage, productized via AIQ.
• Aramco: AI as ecosystem builder, with VC-led global reach.

4️⃣ Narrative & Pacing

• ADNOC: Near-term, project-based decarbonization.
• Aramco: Energy security & gradual transition.

💡 What This Means for Partners & Investors

• Renewables exposure: ADNOC offers global reach via Masdar; Aramco is growing but focused on hydrogen/CCS.
• CCS participation: Aramco’s Jubail suits multi-emitter hubs; ADNOC fits modular network plug-ins.
• AI opportunities: ADNOC shows field deployment now; Aramco builds platforms & venture pipelines.

📊 Bottom Line

Both are diversifying — but not identically.

• ADNOC → Immediate decarbonization projects + scaling via partnerships.
• Aramco → Hub-scale CCS & blue hydrogen, with broader AI/data market ambitions.

For stakeholders, knowing these differences is key to aligning opportunities — whether in utility-scale renewables, CCS, or digital energy solutions.