General Sheikh Mohammed bin Zayed Al-Nahyan H.H. … Brochure.pdf · Inspired by ADNOC’s guidelines and policies, ADGAS has ... Our history The history of ADGAS reads like the history

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H.H. Sheikh Khalifa bin Zayed Al-Nahyan

UAE President and Ruler of Abu Dhabi

General Sheikh Mohammed bin Zayed Al-Nahyan

Crown Prince of Abu Dhabi, Deputy SupremeCommander of the UAE Armed Forces, andChairman of the Abu Dhabi Executive Council

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Welcome to ADGAS The General Manager’s message

It gives me great pleasure to welcome you to discoverADGAS – a company that stands as a symbol of theprogressive march and the nation-building process of ourcountry.

Since it was a mere blue-print, ADGAS has been a uniqueenterprise in terms of the vision and the idea that stoodbehind its foundation some 36 years ago. Noticing theflaring of associated gas back in the late 1960s, the lateSheikh Zayed Bin Sultan Al Nahyan wondered if there is away to avoid this pollution. When he knew that the burntgases can be economically utilized, he gave his orders toimport the necessary technology, which meant thefoundation of ADGAS, thanks to the close follow-up of H.H.Sheikh Khalifa Bin Zayed Al Nahyan, then Crown Prince ofAbu Dhabi.

At that time in the early 1970s, there wasn’t too much talkabout issues like sustainability, the ozone layer, clean energy,etc. The footprint of our exaggerated reliance on fossil fuelwas not widely recognized. Yet, with his unique vision, thelate Sheikh Zayed, a world recognized environmentalist,knew that investing in LNG and LPG is a futuristic decision. However, the establishment of the company was not only avisionary environmental decision, but also a shrewdbusiness venture. It was an early recognition of theimportance of LNG and LPG as a source of energy and anadditional asset for the national economy. Based on astrategic partnership with the Tokyo Electrical PowerCompany (TEPCO), and built on the solid bases of worldexpertise of its shareholders, ADGAS has a robust start,pioneering the LNG and LPG industry in the region.

Since then, ADGAS remarkable achievements over the yearshave only been made possible through the commitment toexcellence of our dedicated and highly-skilled staff. ADGASpromotes a working culture that empowers every employeeto be proactive in making ADGAS a better place to work inand a more profitable business.

We are committed to providing our national youth withemployment opportunities and quality training to sharpentheir leadership skills and empowering them to beproductive elements in society.Inspired by ADNOC’s guidelines and policies, ADGAS hasdeveloped robust HSE procedures and protocols, puttingthe safety and welfare of our employees at the forefront ofour concerns. We always insist that safety and assetintegrity is every employee’s concern within a culture thatdiscourages blame and promotes participation and

collective responsibility. The results of this culture were quiterewarding. Over the years, we have achieved remarkablesafety records, shown genuine concern for our environment,excelled in our industrial processes and got recognized forour achievements.

We have always been on the top list of ADNOC achievers inADNOC’s annual HSE Awards. In 2004, we received the ISO14001 certification for our HSE Management System, whichwas renewed in 2007 and will continue to be renewed at 3years intervals, subject to strict audits by internationallyrenowned organizations. In April 2009, and amid heatingcompetition, ADGAS won the prestigious Dubai QualityAward 2008 after having been subjected to detailed andthorough assessment of its industrial processes andmanagerial policies.

Though not a final destination in itself, this precious awardrepresents an additional assurance that we are on the righttrack. But it also implies a great responsibility, constantlyreminding us of the core values and practices that constitutethe base of our success.

Looking ahead, we are determined to consistently expandand develop in terms of both productivity and efficiency,offering our customers the most reliable source of clean,natural energy coupled with outstanding levels of serviceand the highest standards of safety. In this economicallychallenging time, we will counteract the effects of the globalcrisis by becoming more efficient in all of our activities. Wewill continue to help build the United Arab Emirates’economy, train and hire qualified Emiratis, and offerattractive return on investment to our esteemedshareholders.

On behalf of the entire ADGAS team, I would like to expressour gratitude to our valued shareholders, for their trust andsupport. I would also like to communicate our appreciationto our contractors and suppliers for their dedication andcommitment. On a personal note, I would like to thank ourmanagement and staff, who have sacrificed much, shownloyalty and professionalism, and worked extremely hard tomake ADGAS what it is today.

Finally, I would like to thank you for taking the time to learnabout the history, priorities, challenges, and objectives ofADGAS. It is my privilege to welcome you to the company –I sincerely hope that you will enjoy it. Sincerely,

Fahim Kazim

Our philosophy

Vision

“We will play a key role in the LNG and natural gasindustry, creating wealth and value, implementing the National Energy Strategy and serving our valued customers and community in a socially responsible manner.”

Mission

“We will achieve our vision through the safe and efficientproduction, marketing, sale and delivery of LNG, LPGand natural gases, naphtha and sulphur; building on ourADGAS history, solid partnerships and human capital.

We will strive to sustain our recognized internationalreputation for reliability, integrity and efficiency and tocontinually improve HSE and business performance. We will attract, develop and retain competent anddedicated staff.”


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11997700

Sheikh Zayed issuesvisionary directives tocease unnecessaryflaring of natural gases.

11997722

20-year agreement tosupply LNG and LPGto the Tokyo ElectricPower Company(TEPCO) is signed.

11997755

ADNOC increases itsshareholding in ADGAS to

5511%

11997733

ADGAS is founded, withADNOC, Mitsui & co. Ltd, BP, Total and Bridgestone asshareholders. Constructionof the Das Island gasliquefaction plant begins.

11999900

ADGAS signs a new 25-year agreement to sell itsdoubled LNG production toTEPCO as of 1994.

11999900

New computer-based digitalcontrol system is installed atthe Das Island plant.

11999944

ADGAS’ third LNGprocess train at Das Island becomesoperational.

11999933

First shipment ofSulphur is exported.

11997777

Sheikh Zayed officiallyinaugurates the plantand the first shipment of LNG produced anywhere in the Middle East is loaded.

11998866

Construction of sevenLNG and LPG storagetanks on Das Island iscompleted.

22000044

ADGAS’ environmentalsystem is awarded ISO-14001 certification

22000055

100 million tonnes ofLNG produced sinceinception.

22000066

Safety Milestone of

2255 MMIILLLLIIOONNman-hours without aLost Time Injury isreached

11999977

ADGAS moves to its newCorporate Headquarters onthe Abu Dhabi Corniche

11999977

ADNOC increasesits shareholding in ADGAS to

7700%

Highlights and achievements

22000022

New corporate identityfor ADGAS is launchedon the 25th anniversaryof its first LNG shipment

22000088

Safety Milestone of 34Million man-hours withouta Lost Time Injury isreached

22000099

ADGAS wins theprestigious DubaiQuality Award


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Our history

The history of ADGAS reads like the history ofthe UAE and its people. ADGAS has made aname for itself on the international stage, whileremaining true to its treasured customs andtraditions. By building on its strong history andcontinuing to be a responsible social, culturaland economic player within Abu Dhabi andthe UAE, ADGAS is well-positioned to play animportant role in the international LNG industryfor many years to come.

The evolution of ADGAS


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Our history

The first discovery of oil in what is now the territorial UAE was made atUmm Shaif in 1958, just 150 km off the coastline of Abu Dhabi. Less than 5 years later, in 1962, UAE-produced oil hit the international markets for thefirst time, dramatically changing the course of Abu Dhabi, the nation’seconomy and its importance on the world stage.

Island jetty longevity project, passing 50 million tons of LNGdelivered to TEPCO, and reaching 6 million man-hoursworked without a lost time injury (LTI).

The next year, marking 25 years of successful operationswith a silver jubilee celebration, ADGAS signed an LNG saleagreement with Edison Gas of Italy, and made its first LNGshipment to South Korea. Then, in 2002, to mark the 25thanniversary of ADGAS’ first LNG shipment, a fresh, newcorporate identity was launched, positioning ADGAS as thenatural energy provider of choice in the 21st century.

Production and sales for a single year broke the 8 milliontonne barrier for the first time in 1997, and then in late 2005,ADGAS’ total LNG production since operations startedpassed the 100 million tonne mark – both remarkableachievements and great occasions for celebrationthroughout the company.

Setting high standards in Safety, Training, and the Environment

ADGAS continues to build on its impeccable safety record,setting high standards and remaining dedicated to reachingand surpassing its targets. New LTI records were reached in2004, hitting the 8 and 13 million man-hours marks, andthen topping that by reaching 14 million man-hours workedin 2005 and an astounding 34 million man-hours without an

LTI in March of 2008 – a high benchmark for the future.

Environmental awareness and protection has been a primaryfocus since the early days at ADGAS, making the day in2004 – when ADGAS’ environmental management systemreceived ISO-14001 certification – a very special one. Also in2004, ADGAS went on to re-develop its Health, Safety andEnvironment Management System (HSEMS) to fully complywith ADNOC's industry best practice corporate HSEMSpolicy.

ADGAS places the highest priority on attracting, developingand retaining the most professional employees in the Oil &Gas Industry. To this end, the ADGAS Training Portal,covering the plant’s training needs, was launched in 2004.Building upon its unqualified success, it was then expandedin 2005 to cover training and development functionsthroughout ADGAS. The successful implementation of theCompetence Assurance Management System (CAMS) wascelebrated later the same year – a testament to the valueplaced on each member of the ADGAS team.

The start of great things

It would not be long before the wisdom and guidance of agreat leader led to the creation of the Middle East’s gasindustry.

While on a visit to Das Island in the early 1970’s, H.H.Sheikh Zayed bin Sultan Al-Nahyan, the late President andFounder of the UAE, keenly observed and enquired aboutthe burning of associated gases, produced during oilextraction and production, into the atmosphere – a processcalled flaring. Flaring was standard procedure at the time,but Sheikh Zayed decreed it to be a waste of preciousnatural resources and an avoidable cause of damage to theenvironment.

This visit resulted in H.H. Sheikh Khalifa bin Zayed Al-Nahyan, then the Crown Prince of Abu Dhabi, issuing a jointdirective to cease the unnecessary flaring of associatedgases immediately. By laying the groundwork for naturalgases to be captured and sold as fuel, this visionarydecision has had a tremendous impact on protecting thecountry’s environment, and contributing to the nation’simpressive economic development, ultimately benefiting thecitizens and residents of the UAE.

While extensive studies were showing that natural gas wasone of the cleanest and most environment-friendly fuelsavailable, several large industrialized countries were lookingfor a reliable, clean and efficient energy supply to addresstheir growing demands. Based on these factors, thedecision was made to construct a gas liquefaction plant onDas Island, which was already the storage facility foroffshore oil, ideally situated just 10 km from the Umm Shaifoilfield.

In 1972, the Tokyo Electric Power Company (TEPCO),signed an agreement to purchase the LNG to be producedat the plant for a 20-year period for use in power generationin and around the Japanese capital. The next year, ADGASwas officially founded as a joint venture between the AbuDhabi National Oil Company (ADNOC), Mitsui & Co. Ltd.,BP, Total and Bridgestone. Later the same year, ADGASwas formally registered and the contract for the constructionof the Das Island gas liquefaction plant was signed, withSheikh Zayed doing the honor of laying the plant'sfoundation stone.

As construction on Das Island proceeded, ADNOCestablished a controlling stake in ADGAS in 1975 byincreasing its shareholding to 51%. This led to ADNOCdeciding to incorporate the company in Abu Dhabi in 1977,shortly before the plant became operational. After over fiveyears of planning and building, this momentous occasiontook place in early 1977 – two state-of-the-art processingtrains came online, producing the Middle East’s first everLNG and LPG and effectively ending the era of associatedgas flaring.

ADGAS’ first shipment of LNG left Das Island on April 29th,1977, making ADGAS the pioneer of the Middle East’s gasliquefaction industry. Marking the occasion, Sheikh Zayed,who had maintained an active interest in ADGAS’development and returned to Das Island frequently toinspect the plant’s progress during construction, officiallyinaugurated the Das Island plant.

In the 1980’s, the company’s core operations proceededsmoothly and several improvement projects wereundertaken to increase the safety and overall efficiency ofthe Das Island plant. In addition, construction of seven LNGand LPG storage tanks, and an ambitious sea-water intakeproject were completed in 1986 and 1988 respectively.

In 1990, ADGAS upgraded the Das Island plant controlsystem to a fully computerized digital command centre.Later that same year, as testimony to the strong businessrelationship that had developed over almost two decades,ADGAS and TEPCO signed a new 25-year agreement –doubling the amount of LNG to be delivered to TEPCO as of1994.

To meet its obligations under this new agreement, ADGASimmediately constructed a third, massive LNG processingtrain at Das Island. This train became operational onschedule in 1994, effectively doubling the plant’s LNGproduction.

In 1997, ADNOC expanded it’s commitment in ADGAS byincreasing its shareholding to 70% and ADGAS relocated toits new corporate headquarters on the Abu Dhabi Corniche.Several other noteworthy events took place the same year,including successfully completing phase two of the Das


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Das Island - the heart of ADGAS

A source of light and energy in the vastwilderness of the Gulf, Das Island is a uniquesite with a long history in the Oil & Gas industry.Its connection with oil and gas began in 1953,when the first oil exploration expeditions werecarried out in Abu Dhabi's territorial waters.Since then, it has developed into a key strategichub, known for its reliability, safety and overalloperational excellence.

World-class processes and standards


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Das Island - the heart of ADGAS

Measuring only 2.5 km2, Das Island is small in size but it plays a majorrole in the region’s Oil & Gas industry. It is the operational heart of ADGAS’business, a source of great pride for everyone at ADGAS, and the homeaway from home to over 3,000 staff members of ADGAS, other Groupcompanies, and contractors.

Living and working in harmony

This diminutive rectangular island lies just 160 km from theAbu Dhabi coastline, surrounded by the offshore oilfieldsthat it serves.

In 1954, Das Island was selected as the most suitable basefor offshore oil operations by ADMA Limited (which laterbecame ADMA-OPCO). When oil production started at theUmm Shaif oilfield in 1962, Das Island was used as a landbase, storage facility, and launch site of ADMA-OPCO's firstoil consignment. Due to its strategic location and first-ratefacilities, it remains the main oil storage site for the area tothis day.

When ADGAS was established in 1973, Das Island was thenatural choice for the region’s first LNG plant. As ADGASdeveloped and quickly became the leading LNG producer inthe region, the island found itself at the centre of a lucrativenew revenue stream for the ADNOC Group. Das Island hascontinued to develop over the years and it nowaccommodates the industrial operations of both ADGASand ADMA-OPCO.

As it is home to thousands of ADGAS and ADMA-OPCOemployees year-round, comfort and well-being of residentemployees on the island is of paramount importance.ADGAS ensures that all necessary services and facilities arefreely available to its staff members, who work in shifts tokeep operations running smoothly and safely around theclock. With colleagues living and working together in suchclose proximity, community spirit is a vital aspect of life onDas Island.

To ensure the well-being and productivity of ADGASemployees, the Company has provided a wide variety of funactivities and events on the island. The year-round calendaris aimed at uniting a culturally-diverse staff by encouragingparticipation from everyone. While some employees join oneof the over fifteen different social, sports and recreationalclubs to meet colleagues after work, others prefer to catchthe latest English, Arabic or Asian movie at the free cinema,or to keep fit at the fully-equipped gym and fitness centre.The island also boasts several shops and restaurants, inaddition to convenient medical and administrative services,all designed to promote comfort and well-being for theisland’s residents.

Das Island’s residents have easy access to the latestcommunication and entertainment technologies to keep intouch with their families and with what’s happening aroundthe world. Lodgings are fully equipped with Satellite TV,telephone, and high-speed internet service, in addition toprivate kitchens for a quick snack. The island also has itsvery own TV channel, broadcasting company news, events,activities, and flight schedules to and from Abu Dhabi. Noexpense has been spared to ensure that ADGAS staff haveall the comforts of home during their stay on Das Island.


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The gas liquefaction plant

ADGAS has consistently played a leading role in the Middle East’s gasindustry by establishing an outstanding reputation for reliability in bothlocal and international markets.

Its operational core is the ADGAS gas liquefaction plant onDas Island, which consists of three trains that process anaverage of 8 million tons of associated and non-associatedgases per year. It operates in full compliance with thehighest international standards, and is a shining example ofadvanced planning strategies and processing techniques.

Trains 1 and 2 were originally commissioned in 1977, eachwith an operating capacity of 180 tons of LNG per hour. In1990, after 13 years of successful operations with twoprocessing trains, ADGAS and its largest customer, theTokyo Electric Power Company (TEPCO), signed a long-term agreement to expand and consolidate their operations.The agreement was a clear sign of mutual respect and trustbetween the two energy conglomerates.

This agreement prompted ADGAS to build a third LNG trainin 1994, at the time the largest and most advanced in theworld. With a total operating capacity of over 370 tons perhour and an annual output of up to three million tons, itenabled ADGAS to double its production and output levels.Since then, all three trains have consistently operated at ahigher capacity than their original designs as a result offrequent upgrades and debottlenecking carried out byADGAS experts.

The ADGAS gas liquefaction plant is unique in its ability toprocess both associated and non-associated gasesproduced during oil production. Trains 1 and 2 can handleboth types of gases at high and/or low pressures, while train3 exclusively handles high pressure gas. This versatility isvital because feed gas obtained from Abu Dhabi’s offshoreoilfields comprises both associated and non-associatedgases.

Associated gas is obtained from the Umm Shaif, Zakum andBunduq oilfields, whilst natural gas is found at the Abu AlBukhoosh Kuff, Uweinat, Areaj and Umm Shaif Khuffoilfields, and at the cap gas fields. In total, the plant receives12 distinct gas streams, and blends them to produce LNGand LPG and Pentane to meet clients’ requirements.

ADGAS works in close cooperation with its sister companiesADMA-OPCO and the National Gas Shipping Company(NGSCO), which operates eight LNG ships to transport theplant’s LNG products from Das Island. Through thiscoordination, ADGAS ensures that its operations are fullystreamlined and managed according to individual customerrequirements and strict delivery schedules.

Efficiency, reliability and safety


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The journey of LNG

The intricate process of extracting, purifying and coolingnatural gas to produce Liquefied Natural Gas (LNG) at theCompany’s plant is managed efficiently and safely. It beginsat the offshore oilfields, where associated gas is separatedfrom crude oil, fed to Das Island, and combined with naturallow pressure gas.

The valuable liquid hydrocarbon condensate is thenextracted and impurities such as water, Carbon Dioxide(CO2) and Hydrogen Sulphide (H2) are removed in athorough two-step process requiring chemical washing andtreatment by absorbers.

The sweet dry hydrocarbon feed gas is then cooled instages, first using Propane and then in the cryogenic sectionof the plant using a special multi-component refrigerant.Once the temperature of the hydrocarbon gas, primarilyMethane (CH4) and Ethane (C2H6), is brought below -1600C, it condenses and becomes LNG.

During the cooling process, the condensed hydrocarbonsare sent to the fractionation section to be separated intoPropane (C3), Butane (C4) and Pentane (C5). Ethane is alsoseparated, but returned to the cryogenic section to be usedagain in the processing procedure. In a separate process,molten Sulphur, another saleable product, is extracted fromother acid gases at the Sulphur Recovery Unit through adelicate combustion process.

All gas products are then kept at atmospheric pressure indedicated storage tanks, awaiting loading and delivery toADGAS customers worldwide. Storage temperatures in thespecially equipped tanks are carefully set and monitored at -160°C for LNG, -44°C for Propane, -4°C for Butane,+18°C for Pentane and +140°C for molten Sulphur.

The journey of LPG

Liquefied Petroleum Gas (LPG), a mixture of primarilyPropane and Butane, is a valuable clean fuel, aerosolpropellant and refrigerant. It is produced from sweet gasduring the cooling and separation process that is carried outin the fractionation section.

All the condensed hydrocarbons pass through thefractionation plant. First, the sweet gas is cooled andMethane and Ethane are separated from the condensedhydrocarbons to produce LPG. The gas passes through themain cryogenic exchanger and the remaining LPG that hascondensed is also separated. Remaining uncondensed gas,which is primarily Methane and Ethane, is then extractedand passed back to the cryogenic exchanger forliquefaction.

Propane and Butane are distilled in stages and, aftercondensation and cooling, pumped into separate storagetanks. Propane and Butane products are transported toADGAS clients around the world in specially-designed cargotankers that carry both products in separate designatedtanks. The component gases of LPG can then be combinedto form precise LPG mixtures and shipped in specially-designed tankers to ADGAS clients around the world.

From our oilfields to your home


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ADGAS & TEPCO – a global partnership

The close partnership between ADGAS andTEPCO, the Tokyo Electric Power Company, isa source of great pride for everyone at ADGAS.For over three decades, this strong, mutually-beneficial union has been based on the coreprinciples of respect, trust and reliability.

A shared commitment to excellence


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ADGAS & TEPCO – a global partnership

TEPCO is one of Japan’s largest and most prestigious energy producersand providers, supplying power for domestic and industrial purposes tothe Japanese capital city of Tokyo and its suburbs, an area that is home tomore than 12 million inhabitants.

A bond of trust

ADGAS is dedicated to ensuring a continuous and reliablesupply of LNG and LPG, which TEPCO transforms toprovide Tokyo with electricity.

The unique collaboration between ADGAS and TEPCObegan over thirty years ago in 1972, when TEPCO set outto find a reliable partner to supply it with vast amounts ofclean and natural energy, in the form of LNG and LPG, topower its growing operations. Before the initial agreementwas signed, comprehensive feasibility studies were carriedout and confirmed the commercial viability of establishing agas liquefaction plant on Das Island. Then, formalnegotiations between TEPCO and ADGAS' originalshareholders began and proceeded quickly towards amomentous outcome – the successful signing of anagreement for TEPCO to purchase the entire LNGproduction of ADGAS’ Das Island plant for a period of 20years.

From a commercial point of view, the ADGAS-TEPCOagreement was consummated on April 29th, 1977, whenADGAS’ first-ever LNG shipment left Das Island aboard thetanker Hilli, bound for the Japanese terminal of Sodeguarain Tokyo Bay. Since that historic first shipment, the mutualrespect and trust between the two energy giants hascontinued to grow. LNG and LPG shipments are regularlydelivered according to established timetables and strictprograms, designed in compliance with the highestinternational safety standards and procedures.As the initial 20-year agreement was drawing to a close,both ADGAS and TEPCO recognized the benefits ofcontinuing their ideally-suited partnership. A new, 25-yearagreement was signed and came into effect in early 1994,with TEPCO committing to purchase double the previousannual quota of LNG from ADGAS. In order to effectively

satisfy this increased demand, ADGAS expanded theproduction capacity of the Das Island plant through theconstruction of the third LNG train, and carrying outexpansion and modernization projects.

The resulting numbers are astounding – a testament to thelength and scope of the two companies’ association.Between 1977 and 2006, ADGAS successfully deliveredover 97 million metric tons of LNG to TEPCO. This amountsto almost 1,600 round-trips made by tankers between DasIsland and the receiving terminals in Tokyo. Over the sameperiod, nearly 15 million metric tons of LPG – almost 400tanker consignments – were also supplied to TEPCO.ADGAS considers itself privileged to have worked inexclusive partnership with TEPCO for so many years, andanticipates a bright future for this mutually beneficialcooperation.


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Commitment to the community

A strong bond with our culture, our people, and our society ADGAS is not a solitary island; rather it is a proud, integrated member of the UAEcommunity. Abu Dhabi is our home, our core – and we are passionate about our role in thedevelopment of our society and our people.


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Our responsibility…

Building our nation and our people

ADGAS has been blessed over the years to have receivedsuch strong and honest support from the Government ofAbu Dhabi, as well as from ADNOC and other ADNOCGroup companies. We have created long-term, mutuallybeneficial partnerships with some of the most respectedcompanies in the UAE and around the world. In turn, wehave established a long history of corporate socialresponsibility to give something back to the land from whichwe have grown.

…to our communityADGAS and every member of its staff support a wide rangeof worthy local initiatives, events and causes throughout theyear. From charitable events and social causes toeducational, economic, and health programs and initiatives,ADGAS is proud to provide financial assistance, donationsand sponsorship to make a difference.

As part of its social outreach, ADGAS provides scholarshipsto selected, high-potential students and arranges trips toDas Island for high-performing students, giving an overviewof the plant's activities and explaining what it is like to bepart of the ADGAS team. ADGAS also offers support to UAEschools, higher institutions and universities, presenting themwith equipment, and participating in their exhibitions andopen days.

To the greater community, ADGAS aims to create a bond ofmutual respect and trust between members of its staff andthe general public by participating in and celebrating suchworthwhile, environmentally-focused events and initiatives asArbor Week, National Environment Day, Beach Clean-upCampaigns, and Traffic Safety Week.

…to our partnersA team is always stronger than its individual parts, just asADGAS is bolstered by the important relationships that ithas formed with its respected contractors, suppliers andclients, within the UAE and around the globe. ADGASpromotes its corporate partners and its industry, both locallyand internationally, by attending and participating in Oil &Gas conferences, seminars and exhibitions. ADGAS isalways honored to frequently host visiting dignitaries, VIPsand official delegations from countries, private and publicorganizations, and companies worldwide.

…to the ADGAS familyOur people are our greatest asset and responsibility. To helpfoster a community atmosphere within ADGAS, a wide varietyof exciting activities and events are organized for employeesand their families to participate in and enjoy. ADGAS arrangestrips and excursions for employees, and organizes employeewell-being events and initiatives, to constantly improve theworking environment and social life of its employees and theirfamilies.

Sports tournaments are a prominent feature of ADGAS life,

and an exceptional way of promoting teamwork among itsstaff through healthy competition. Football, volleyball andbasketball tournaments are regularly held, as well asoccasional cricket matches and fishing trips.

The Baynounah Club, ADGAS’ private sports and social club,is a haven within the city – employees go there to enjoy adelicious meal, see a movie at the private cinema, or just kickback and relax with friends and family.

During the holy month of Ramadan, senior managers hostIftar gatherings for employees and their families. These specialevents are perfect opportunities for the entire ADGAS familyto celebrate this special month together.

In addition, a number of charitable drives are undertakenduring this period to raise money and provide support forthose in need, throughout the region and worldwide.

…to our nation and peopleADGAS is firmly committed to recruiting and developingEmirati nationals – providing them with the skills andeducation necessary to meaningfully contribute to the staffand to society in general. Its Emiratization drive is intendednot only to produce competent professionals, but alsocultured, well-developed human beings, making positivecontributions both inside and outside of the workplace.

Several important initiatives and policies are in place atADGAS to attract, develop and retain Emirati nationals.It begins by sponsoring Emirati nationals whilst still atcollege – investing in them to ensure that they are able tocontribute to the future prosperity of society. ADGAS alsoorganizes and participates in recruitment drives to findEmiratis with the ambition and aptitude to thrive.

At ADGAS, Emiratis are given every opportunity to choose apath that suits their individual interests and abilities. Thereare many exciting professions to choose from, eachrequiring unique skills and training. By investing in technical,management and HSE training, conducted by experiencedADGAS staff and by leading professional trainingorganizations, ADGAS ensures that its employees areequipped with the correct skills and knowledge to performtasks to the best of their ability.

In 2001, ADGAS started implementing the CompetencyAssurance Management System (CAMS), a structuredprogram establishing and implementing competencydevelopment frameworks for all ADNOC engineers. CAMSplays a vital role in developing the ADGAS staff, takingan employee from beginner level to expert at a pacedetermined by each individual’s ability. Support is providedthroughout the training process and assessments arecarried out to ensure that a continuous and consistentcompetency level is developed, for the long-term benefit ofthe employee and the company.


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Our environment

The world is not ours; we are merely taking careof it for our children. At ADGAS, we are proudto have been given this great responsibility andwe are committed to passing on a pristineenvironment for future generations to enjoy.

For the good of the environment


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Our environment

Together we can make a difference

Environmental conservation and awareness has always beenat the heart of everything we do. In our continuous drive tobecome a sustainable energy company, we effectively applythe best environmental practices and employ the latesttechnologies to minimize the environmental footprint of our operations on air, land and water.

We are accountable not only to our stakeholders but also to the community at large to develop resources, conductour operations, and offer our products and services in aresponsible manner. We work closely and co-operativelywith our neighbours, stakeholders and customers to makeenvironmental awareness a priority. Only in this way can we maintain our current position as an industry leader inenvironmental protection and ensure even greaterachievements in the future.

Leadership & IntegrityADGAS was established according to the vision of the lateH.H. Sheikh Zayed bin Sultan Al-Nahyan, The late Presidentand Founder of the UAE, and will continue to lead the wayin environmental issues by following his example andlearning from his wisdom. At ADGAS, we understand thatthere are no shortcuts in life, which is why we employtransparent environmental practices and refuse tocompromise with respect to the protection of theenvironment.

To this end, ADGAS continually monitors and evaluates thebest global practices in environmental operations, createsand applies policies to ensure their proper application, andalways strives to reach and exceed benchmarks andexpectations.

Both the UAE Government and ADNOC take theirenvironmental commitments extremely seriously andpromote these values to partners, clients and society as awhole. ADNOC has established clear operating regulationsfor environmental protection for all group companies andsubsidiaries.

At ADGAS, these strategic regulations form the foundationof our Health, Safety and Environmental ManagementSystem (HSEMS), which ensures that all of our operationsare carried out in a safe and environmentally consciousmanner. Our HSE efforts are complementary andinterdependent with our economic and social performance,and we remain committed to managing our environmentalissues in a way that meets or exceeds existinginternationally recognized standards.

Programmes & Key Objectives In order to effectively meet its environmental objectives andKey Performance Indicators (KPIs), ADGAS has severalimportant ongoing environmental program, with which it willcontinue to improve environmental performance, implementbest practices and minimize the negative impact of itsoperations on the environment. ADGAS’ commitment is reflected in its HSE policy and ishighlighted in the following key environmental objectives,which are crucial to operating in a responsible and efficientmanner:

• To reduce CO2 emissions by capturing flared gas and minimizing energy consumption

• To reduce SO2 emissions through plant efficiency improvements

• To replace ozone-depleting substances with eco-friendlysubstances, such as PCB-free transformer oil

• To minimise the impact of our operations on the marine ecosystem

• To encourage and support waste segregation andrecycling in order to minimise land pollution

• To promote environmental awareness and responsibilityamongst all our employees through a range ofenvironmental awareness training courses and initiatives

International StandardsReflecting a steadfast dedication to managing environmentalissues according to internationally recognized standards,ADGAS’ environmental management system received ISO14001 certification in 2004 and was recertified in 2007. Thiscertification allows an organization to implement, maintain andimprove its environmental management system by conformingto its own stated environmental policy and complying withprevailing environmental laws and regulations.

ADGAS is always looking for ways to enhance environmentalperformance. Since operations began on Das Island in 1977,several ambitious initiatives have been introduced to conserveand protect the surrounding environment. These include:

• Commissioning of Sulphur Recovery Units (SRU) toreduce SO2 emissions

• Installing highly efficient monitoring stations throughout the plant to further enhance efficiency and minimiseenvironmental impact or damage

• Taking the first steps towards the long-term target ofminimizing flaring to best-in-class levels in LNG industry by 2015.


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A culture of safety

At ADGAS, it is our highest priority and commongoal to ensure the safety of each one of ouremployees. Our entire team is committed tomaintaining an incident-free work environmentand to continually improving on safety standardsand procedures at every level of our operations.This shared objective unifies the ADGAS staff,who take great pride in highlighting andcelebrating the safety achievements of theircolleagues and of ADGAS as a whole.

Dedicated to health, safety and the environment


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A culture of safety

At ADGAS, reviewing and improving safety measures is not solely amanagement issue; it is each employee’s personal duty. The ADGASHealth, Safety and Environment Management System (HSEMS), a key partof ADGAS’ drive to improve safety performance, was established to promote this shared passion for safety.

Leading towards safety excellence

At ADGAS, reviewing and improving safety measures is notsolely a management issue; it is each employee’s personalduty. The ADGAS Health, Safety and EnvironmentManagement System (HSEMS), a key part of ADGAS’ driveto improve safety performance, was established to promotethis shared passion for safety.

HSEMS requires rigorous and timely reporting of all observedincidents including Near Miss incidents, in order to assist inidentifying underlying causes and eliminating recurrence ofaccidents. Our employees are recognized and rewarded forhighlighting these events, and their suggestions forimprovement form an invaluable part of making ADGAS assafe as possible. In addition, comprehensive safety audits areregularly conducted to improve processes, and establish andmaintain safety best practices.

Over the years, ADGAS has been recognized by severalinternational independent bodies as having superior safetyprocesses and standards and an outstanding safety record.In 1993, ADGAS was accredited with the 3-star level of theInternational Safety Rating System, as evaluated by externalauditors from the International Loss Control Institute. Thiscertified that ADGAS' safety standards were comparable withthose of the best performing multinational companies in theOil and Gas industry. Since then, ADGAS’ safety record hascontinued to improve and impress.

ADGAS was one of the first companies in the region tointroduce a behavioral safety initiative program, establishing aproactive approach to creating a culture of safe behavior.This program seeks to further enhance HSE performance byencouraging employees to:

• ask how a task can be performed more safely and efficiently

• propose changes to improve processes or procedures

• work together to make their jobs and their workingenvironment safer for themselves and for those around them

ADGAS' largest shareholder, ADNOC, places particularemphasis on ensuring that individual Group companiesadhere to its guiding principles, the ADNOC Codes ofPractice. This comprehensive suite of HSE guidelines, bywhich all ADNOC Group companies must comply, has beenindependently certified to be in total compliance with themost stringent HSE management systems found in the Oil &

Gas industry worldwide. ADGAS aspires to achieve HSEperformance levels that meet or surpass those of othercompanies in the industry.

Safety at Das Island presents unique challenges due to thecomplexity of the operations at the Plant and the island’sdistance from the mainland. To effectively address theseissues, ADGAS on Das Island has dedicated Workplace andExecutive HSE Committees. They are responsible foridentifying potentially unsafe areas and processes in order tocorrect them before any incidents occur. In addition, thehighly-trained and experienced fire-fighters and medicalstaff, who make up the Das Island Emergency ResponseTeams, ensure that any HSE incident at the plant is dealtwith as effectively and efficiently as possible.

In 2008, ADGAS completed a comprehensive OccupationalHealth Risk Assessment in accordance with establishedADNOC/COP guidelines. This assessment showed thatmajor health hazards, such as heat stress, Sulphur Dioxide,noise, and manual lifting are effectively maintained at risklevels that are As Low As Reasonably Practical (ALARP). Inaddition, a successful program is in place to monitor thelevels of the physical and chemical hazards in theworkplace.

ADGAS makes a concerted effort to ensure that all itsemployees share HSE results, ideas, initiatives,achievements, and recognition. This important information iscommunicated in a number of ways, including the HSEmonthly report, HSE monthly meetings, line managementsessions, weekly meetings, and the ADGAS website.Another useful source of HSE information, the ‘ADGASNews’ is a popular internal bulletin distributed each monthto all staff members. It frequently highlights important HSEissues and lessons learned at ADGAS.

The ADNOC HSE Awards program was launched in 1997 torecognize outstanding achievements by ADNOC Groupemployees and contractors in a range of health, safety andenvironment performance categories.

In 1998, ADGAS won the Grand Award, in cooperation withsister companies ADMA-OPCO, ZADCO and Al-Bunduq, forthe successful implementation of a landmark project tominimize flare emissions through operational improvements.In 2001, ADGAS won first place in the Safety category, andin 2004 an ADGAS paper entitled 'ADGAS Pre-fire Plans’

won top prize in the HSE Performance category. In 2006,ADGAS won 4 different awards within the competition, andin 2007 ADGAS won the First Award in the field of “HSEPerformance”.

ADGAS continually strives to build an inherent culture ofsafety by establishing safety performance as a primary areaof focus for all employees, as well as an integral part ofcorporate strategy. This is instilled through a continuoussafety awareness and training program, which ensures thatevery employee has a deep understanding and commitmentto the highest standards of safety in the workplace.

During its five-year benchmarking exercise from 2003-2008,ADGAS safety performance was ranked as the best-in-classamong a group of leading LNG producers, clearly reflectingexcellence in safety performance.

To effectively monitor and promote the safety performanceof its plant and operations, ADGAS uses the standardindustry measurement unit, the Lost Time Injury (LTI). All ADGAS administrative and support departments areevaluated using LTI targets, which are measured on anannual and cumulative basis.

Date Man-hours worked without LTINovember 1997 6 millionApril 2003 4.5 millionJanuary 2004 8 millionDecember 2004 13 millionFebruary 2005 14 millionSeptember 2006 25 million

As of March 2008, ADGAS and its Contractors have achievedover 34 million consecutive LTI-free man-hours, which isequivalent to 2147 days.

Dubai Quality AwardADGAS’ long tradition of excellence and performance haswon it the recognition of regional bodies outside the oil andgas community. Most important amongst these is theprestigious Dubai Quality Award 2008, which ADGASrecently won in the industrial category. The Award office andspecialized committees have conducted a thoroughassessment of the industrial processes followed in ADGAS’plant on Das Island, and of the various policies andprocedures followed in management, finance, people’sdevelopment and other aspects of ADGAS business.

Their conclusion was that ADGAS’ policies and systems areamongst the best regionally and internationally; qualifyingthe Company for the Dubai Quality Award as a result ofyears of distinguished and efficient performance.

The Award was handed over by H.H. Sheikh MohammedBin Rashed Al Maktoum, UAE Vice-President, PrimeMinister and Ruler of Dubai, to ADGAS’ GM in a spectacularceremony held in Dubai on April 22, 2009.

The Dubai Quality Award is based on the “ExcellenceModel” of the European Foundation for Quality Management(EFQM), which has been successfully applied in private andpublic sector organizations since 1992. The model providesa holistic framework for organizational excellence, focusingon the whole, where the whole is larger than the sum of itsparts.


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The future of ADGAS

Built on the strong foundation established inover three decades of successful operation, thefuture of ADGAS is bright. By contributing toand drawing from the ongoing rapid economicdevelopment of Abu Dhabi and the UAE, ADGASwill continue to thrive, and is well-positioned to solidify its status as a leading player in thegas industry – supplying products within theUAE and worldwide, and exceedingshareholders’ expectations.

A bright future for ADGAS and the UAE


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The future of ADGASWith over 34% of the world’s known natural gas reserves located in Arabcountries throughout the GCC, the UAE and its neighbors will remain astrategically important source of this valuable fuel for many years to come.

Abu Dhabi’s oil and gas resources triggered the Emirate’srapid economic development and represent a major sourceof future revenue. Massive investment in infrastructureprojects throughout the country has been funded by oil andgas revenue, resulting in a higher quality of life for thecitizens and residents of the UAE.

Global energy experts agree that natural gas has establisheditself as one of the world's most important energy sources –an environment-friendly, cost-effective fuel with abundantglobal reserves. While it was originally utilised solely forheating and cooking, natural gas is now being used forindustrial and commercial purposes within a number ofdifferent industries, as well as for the generation of electricity,and to power vehicles. Due to the versatility and adaptabilityof natural gas, future demand will continue to grow as manyother potential applications are developed – the possibilitiesare truly endless.

Strategic objectivesTo enable ADGAS to progressively develop in line withindustry growth and according to consumer demand,strategic plans have been put in place to direct and assistADGAS in achieving its ambitious medium and long-termgoals. ADGAS will effectively combat increasing costs and ahighly competitive market by ensuring sustained, safe andreliable LNG production and delivery to customersworldwide, constantly increasing operational efficiency andcost-effectiveness, and diligently working towards the long-term objective of zero flaring by 2015.

Since ADGAS’ growth is tied to long-term, equitablerelationships with trusted customers, ADGAS will continueto build on its outstanding reputation for reliability, flexibility,and HSE focus. It will also constantly strive to improveefficiency and refine processes by implementing costoptimization and rationalization strategies, as evidenced bythe introduction of Six Sigma principles into its operations. In addition, ADGAS will seek to solidify its position as amajor player in the local energy market by supplying gas toAbu Dhabi and the other emirates.

Emiratization will play a key role in ADGAS’ future, witheveryone at ADGAS dedicated to achieving an ambitioustarget of a 75% Emirati national staff by 2009. In anincreasingly competitive employment marketplace, ADGASaims to provide unique opportunities for training anddeveloping Emirati nationals, ultimately leading to long-termand rewarding careers within the company. In addition, allADGAS employees will benefit from a wide range of excitingprofessional development opportunities aimed at enhancingtheir performance and professionalism.

The Das Island expansion and development planUnder the supervision of ADNOC, and in conjunction withADMA-OPCO, ADGAS has developed a master-plan for theexpansion and development of the facilities on Das Island inorder to more effectively meet customer and marketdemand in the years ahead. The master-plan, which coversboth social and industrial aspects of life on the island, willbenefit both companies by ultimately allowing them toreduce duplication – coordinating their efforts and activitiesin a more unified approach. Currently under consideration bythe two companies’ Boards of Directors, a decision toimplement the master-plan is expected by 2007.

Sharing in the national energy strategyADGAS new vision and mission stress the Company’scommitment to quality, performance and emiratization, whilehighlighting the Company’s role in implementing the UAE’sNational Energy Strategy.

With this in mind, ADGAS is actively participating in majorstrategic projects that would supply gas to the emirate ofAbu Dhabi. Working is underway to build the facilities thatenable the Company to meet its national commitments inthis regard. Prominent amongst these projects are theOffshore Associated Gases (OAG) Project-Package 1 onDas Island and the Integrated Gas Development (IGD)Project. The two projects complement each other and aredesigned to secure Abu Dhabi’s future needs of gas forresidential and commercial use.

The two projects involve compressing, dehydrating anddispatching offshore gases to the facilities of Habshan(GASCO), to be processed and provided for localconsumption. They are the first building block that linksoffshore gas on the one hand, and onshore gases and localmarket on the other. ADGAS facilities would receive,compress, dehydrate and dispatch gases through a 30 inchsub-sea pipeline to Habshan facilities for processing.

ADGAS is very proud of its national and regional role, and itbelieves that the future is for clean energy, which means amore significant presence and value for its products.Therefore, it looks to the future with a lot of hope andpassionate anticipation, knowing that it has important rolesto perform.

As it did in the past decades, ADGAS will continue to exceland deliver in the years to come, depending, as it did allalong, on its loyal and committed employees, itsshareholders support and experience and its strategicpartnerships worldwide.


Documents

General Sheikh Mohammed bin Zayed Al-Nahyan H.H. … Brochure.pdf · Inspired by ADNOC’s guidelines and policies, ADGAS has ... Our history The history of ADGAS reads like the history