Samsung E&A wins $1.7 bln contract for UAE methanol plant

Samsung E&A has been awarded, by TA'ZIZ, a contract worth AED 6.2 billion ($1.7 billion) to construct methanol plants in Abu Dhabi, as the UAE capital aims to diversify its economy.

The 1.8 million tons per annum (mtpa) plant in Abu Dhabi's Al Ruwais Industrial City will be the first methanol production facility in the UAE.

Upon completion in 2028, it will be powered by clean energy from the grid, making it one of the world’s most energy-efficient methanol plants.

CEO of TA’ZIZ, Mashal Saoud Al-Kindi, said, “This landmark [engineering, procurement and construction (EPC)] contract award is a significant step in realising TA’ZIZ’s vision to drive the UAE’s industrial growth by creating a world-scale integrated chemicals ecosystem in Al Dhafra region. The plant will enhance the UAE’s position as a leader in sustainable chemicals production and strengthen TA’ZIZ’s role in enabling ADNOC’s global ambition to lead the chemicals sector.”

President and CEO of Samsung E&A, said, "Samsung E&A is honored to receive this recognition, highlighting TA’ZIZ’s and our commitment to driving industrial innovation, diversifying the UAE's economy, and enabling sustainable growth. This milestone underscores the power of collaboration in creating world-scale facilities that will position the UAE as a global hub for advanced methanol production.”

In its initial phase, TA'ZIZ will produce 4.7 mtpa of chemicals by 2028, including methanol, low-carbon ammonia, polyvinyl chloride (PVC), ethylene dichloride, vinyl chloride monomer, and caustic soda.

Several of these chemicals will be produced for the first time in the UAE, reinforcing TA’ZIZ’s strategic goal to expand the local chemicals value chain and advance economic diversification through industrialisation.