Abu Dhabi National Oil Co, the state-owned oil company of the United Arab Emirates, said on Wednesday that China's growing demand for crude remained integral to its long-term growth strategy.
Imports are expected to account for more than 70 percent of China's crude oil supply in 2018 and the UAE firm was confident of increasing its share of supplies, said Sultan Ahmed Al Jaber, the chief executive officer of ADNOC.
"We are wholly committed to ensuring oil supplies to China and the wider Asian region," said Al Jaber.
"While oil demand is growing in China, demand for products derived from oil is expanding even more rapidly, and we are looking to become a long-term, trusted and reliable supplier to Chinese customers in the downstream sector. We are increasing our commitment to China to be even closer to our customers, as it will bring benefits to both sides," he said.
China National Petroleum Corp, the country's largest oil producer, and Shanghai-based CEFC China Energy Co are the company's new Asian partners, in addition to Japanese and South Korean companies, BP Plc and Total SA.
It recently signed a framework agreement with CNPC covering various areas of potential collaboration, including offshore opportunities and sour gas development projects, after the Chinese firm secured a 12 percent stake in ADNOC's onshore oil concession last year.
ADNOC also finalized a 40-year oil concession partnership agreement with CEPC last year, extending 4 percent of ADNOC's largest onshore oil concession in Abu Dhabi to CEFC.
Al Jaber said the long-term outlook remained positive and he looked forward to "a relationship that complements ADNOC's resources and China's technology, know-how and local market access.
"China is a key, strategic market for ADNOC … and we continue to explore ways to deepen and extend our partnerships with Chinese companies and investors," he said.
According to Al Jaber, further cooperation with Chinese companies is a priority for ADNOC, particularly in the petrochemicals sector, one of the fastest-growing segments in the wider energy value chain, with demand set to grow 150 percent by 2040.
To meet the growing demand for higher-margin refined products and petrochemicals, especially from the high-growth markets of Asia, ADNOC is looking to boost its petrochemical capacity to 11.4 million metric tons by 2025, up from 4.5 million tons in 2016.
Al Jaber believes China will remain a key growth market for both ADNOC and the UAE, and said his company is uniquely positioned to cater to rising Chinese demand for crude and higher value products derived from oil.
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