TA’ZIZ and Proman JV Secure $2bn for UAE’s First World-Scale Methanol Plant

TA’ZIZ and Proman JV have secured $2 billion in financing to develop the UAE’s first world-scale methanol plant in Al Ruwais, targeting an annual production of 1.8 million tonnes by 2028. This landmark project, featuring an exclusive offtake agreement with Proman’s Valenz, positions Abu Dhabi as a critical global hub for low-emission maritime fuels and industrial chemicals.

ABU DHABI, UAE | May 7, 2026 – The TA’ZIZ Methanol Company, a joint venture between TA’ZIZ (the ADNOC and ADQ industrial powerhouse) and global energy leader Proman, has reached financial close on a landmark $2 billion financing package.

This capital injection paves the way for the UAE’s first world-scale methanol production facility, situated in the heart of Al Ruwais Industrial City. The transaction was significantly oversubscribed, highlighting intense global investor interest in Abu Dhabi’s industrial transition and the rising role of methanol in the global energy mix.

The Financing Breakdown

The $2 billion package is a sophisticated mix of regional and international capital, structured to reflect the project’s high credit rating:

• $1.8 Billion Conventional Loan: A five-year syndicated facility.
• $200 Million Islamic Facility: Diversifying the capital base with Sharia-compliant financing.
• Global Participation: The syndicate comprises 11 leading financial institutions from Asia, Europe, and the Middle East.
• Key Players: SMBC acted as the exclusive financial advisor. Abu Dhabi Commercial Bank (ADCB) and First Abu Dhabi Bank (FAB) served as bookrunners and mandated lead arrangers.

Strategic Offtake: Scaling the Global Supply Chain

In a move that secures the plant’s commercial future, Proman has signed an exclusive long-term offtake agreement. Valenz, Proman’s dedicated marketing arm, will have the sole rights to market the 1.8 million tonnes of methanol produced annually to both domestic and international markets once the plant becomes operational.

David Cassidy, Chief Executive of Proman, said, “This is a significant step forward for the project and a major advancement in our partnership with TA’ZIZ. The strong interest in this transaction underscores market confidence in methanol’s growth trajectory, both as a key chemical and as a cleaner burning fuel for transportation and power generation. It also positions Abu Dhabi as a future global hub for methanol production. Proman is proud to be party to this world class joint venture. We are also delighted that Valenz will market the methanol exclusively, further strengthening our offering to our global customers.”

Methanol’s Role in Decarbonization.

For the bunkering industry, this project is a game-changer. Methanol is a primary “transition fuel” used to reduce sulfur oxides (SOx), nitrogen oxides (NOx), and particulate matter in shipping. By producing 1.8 million tonnes per annum (mtpa) locally, TA’ZIZ is providing the necessary infrastructure to support methanol-fueled vessels frequenting the Arabian Gulf.

Project Timeline and Construction

The project has already cleared several critical hurdles:

• EPC Contract: Awarded to Samsung E&A Co. Ltd.
• Completion Target: Q3 2028.
• Feedstock Security: ADNOC Gas recently secured a 25-year feedstock agreement valued at over $5 billion to supply the natural gas required for production.

A Defining Moment for TA’ZIZ

Mashal Saoud Al-Kindi, CEO of TA’ZIZ, noted, “This landmark financing marks a defining moment for TA’ZIZ and for Abu Dhabi’s next phase of industrial growth. The strong global demand for this transaction reflects our disciplined execution, the strength of our partnerships, and the long-term fundamentals of the Ruwais industrial ecosystem.”

Bunkering Context: Why This Matters to Maritime

For the maritime sector, this announcement is a significant milestone in the race toward decarbonization. As the shipping industry seeks viable alternatives to conventional marine fuel, methanol has emerged as a frontrunner due to its ease of handling and existing engine technology.

• Supply Security: Once operational in Q3 2028, the Al Ruwais plant will provide a massive, stable supply of low-carbon molecules situated at one of the world’s most critical maritime crossroads.
• Strategic Location: Proximity to the Port of Jebel Ali and the Fujairah bunkering hub allows Abu Dhabi to potentially integrate this production directly into the global marine fuel supply chain.
• Scalability: Producing 1.8 million tonnes per year places this facility among the largest in the world, providing the “molecule mass” required to support the growing fleet of methanol-dual-fuel vessels currently on order.

Quick Facts: TA’ZIZ Methanol Company Project

About the Partners

Proman: A Global Leader in Energy and Methanol

Founded in 1984 as a specialized project management firm, Proman has evolved into a world-class, multi-asset energy producer. Today, the company is a global leader in methanol and fertilizer production, with a diversified portfolio of assets in the United States, Trinidad, Oman, and Mexico.

Proman’s integrated value chain spans the entire energy lifecycle, including:

• Production: Onshore and offshore natural gas assets in the U.S. and Trinidad.
• Operations: Petrochemical and power plant construction and management.
• Logistics: Comprehensive product marketing and global supply chain solutions through its marketing arm, Valenz.

With a commitment to sustainable energy, Proman is at the forefront of developing methanol as a cleaner-burning alternative for the maritime and power sectors.

TA’ZIZ: Driving the UAE’s Industrial Transformation

TA’ZIZ is a strategic joint venture between ADNOC and ADQ, designed to serve as the primary catalyst for the UAE’s industrial diversification. Located within the world-scale Al Ruwais Industrial City in Abu Dhabi, TA’ZIZ sits at the geographic crossroads of the world’s fastest-growing economies.

Key pillars of the TA’ZIZ mission include:

• Economic Diversification: Strengthening the UAE’s industrial competitiveness by producing essential chemicals locally.
• In-Country Value (ICV): A significant portion of the $2 billion project capital is directed back into the local economy, supporting UAE-based businesses and suppliers.
• Social Impact: The project is a major engine for job creation, specifically focused on maximizing employment opportunities for UAE Nationals in the Al Dhafra region.

By integrating with established industrial giants like Borouge and ADNOC Refining, TA’ZIZ is building a high-tech ecosystem that reinforces Abu Dhabi’s status as a premier global industrial hub.

Quick Comparison: The Power Behind the Project

Source: Proman | TA’ZIZ