BAKU, Azerbaijan, December 17. XRG, the energy investment arm of the Abu Dhabi National Oil Company (ADNOC), is committed to helping Azerbaijan to strengthen its position as a leading energy exporter, the company told Trend.
“XRG, is pursuing a partner-centric and value-driven approach to growth in Azerbaijan and across the wider Caspian region. We view the Caspian as a strategic energy hub and see significant potential to deepen our presence,” said the company.
XRG recalled the signing of a non-binding Heads of Terms for XRG this year to acquire a stake in Southern Gas Corridor CJSC (SGC) from the Ministry of Economy of the Republic of Azerbaijan.
“The agreement serves as a further milestone for the growing strategic energy relationship between the United Arab Emirates (UAE) and Azerbaijan. SGC’s holdings include operating natural gas producing assets and a 3,500km pipeline network from the Caspian, through Türkiye to southern Europe. The agreement also has the potential to contribute to Azerbaijan’s economic growth while reinforcing the country’s role as a reliable partner. Opportunities such as this can enhance gas production, strengthen export capacity, and optimise critical energy infrastructure. Our focus is on working closely with trusted partners to deliver sustainable growth and long-term value creation.”
XRG said its holdings in Azerbaijan include its strategic partnership with SOCAR in the Absheron gas and condensate field, with a 30% stake.
“In addition, SOCAR acquired a 3% interest in the SARB and Umm Lulu concession in Abu Dhabi from ADNOC in May 2024. The Absheron partnership has demonstrated that combining capital discipline, technical excellence, and a shared vision delivers tangible results, and we intend to leverage this model across future ventures in Azerbaijan and beyond. This partnership stands as a model of successful international collaboration – one that reflects the deep and enduring ties between the UAE and Azerbaijan. Ultimately, our goal is to continue building strong, trust-based partnerships that support energy security, growth, and innovation — both for Azerbaijan and the wider region.”
XRG said it fully supports Azerbaijan’s ambition to diversify its energy mix.
“We aim to be as a long-term strategic partner in gas, chemicals and new energies – leveraging capital, technical expertise, and international best practices. We are committed to supporting initiatives that deliver both economic and environmental value. Azerbaijan is a key strategic partner for XRG, and our long-term objectives are closely aligned with the country’s vision for sustainable growth. We are here for the long run – to invest, to partner, and to help strengthen Azerbaijan’s position as a leading energy exporter,” the company said.
XRG brings the sector experience and expertise of ADNOC’s six decades of global energy experience, which enables us to support its partners with both technical capability and disciplined investment.
“Our objective is to help unlock new sources of value across the energy chain – from increasing gas production and exports to building the foundation for more efficient energy systems. As Azerbaijan continues to grow in importance as an energy hub, XRG will continue to be a committed and active partner, focused on delivering growth that is sustainable, reliable, and transformative,” the company said.