ADNOC Secures $2 Billion K-SURE-Backed Green Financing To Fund Lower-Carbon Projects

ADNOC has entered a $2 billion (AED7.34 billion) green financing agreement with Korea Trade Insurance Corporation (K-SURE), adding to its recent sustainable funding deals and taking total green funding to $5 billion (AED18.35 billion) within 18 months, as the company seeks to link growth with sustainable finance.

The agreement is announced during a visit by Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, to the Republic of Korea, where Dr. Sultan Al Jaber meets Youngjin Jang, President and Chairman of K-SURE, to advance bilateral economic and energy ties.

The K-SURE-backed facility is arranged under ADNOC’s Sustainable Finance Framework and is designed to fund eligible lower carbon projects that comply with international sustainable finance market standards, with Sustainable Fitch issuing an independent Second Party Opinion confirming alignment with global sustainable finance principles and practices.

First Abu Dhabi Bank (FAB) acts as the Green Loan Coordinator for the transaction, while Santander serves as the Export Credit Agency (ECA) coordinator, supporting the structure of ADNOC’s first green financing facility backed by a Korean ECA and reinforcing the role of regional and international lenders in sustainable project funding.

ADNOC is among the least carbon‑intensive oil and gas producers and is working to reduce the carbon intensity of its operations by 25 percent by 2030, alongside a planned $23 billion (AED84.4 billion) investment programme to decarbonise operations and expand in new energies such as hydrogen, geothermal and renewables.

The company is also a founding member of the Oil and Gas Decarbonisation Charter (OGDC), a group of International and National Oil Companies that have pledged to achieve zero methane emissions by 2030 and reach net zero by or before 2050, aligning ADNOC with wider industry climate commitments.

The new K-SURE facility follows a $3 billion (AED11 billion) green financing transaction with the Japan Bank for International Cooperation (JBIC) in 2024, and Khaled Al Zaabi, ADNOC Group Chief Financial Officer, said, "This facility reflects ADNOC’s commitment to financing the transformation of energy systems while maintaining strong capital discipline. Through our partnership with K-SURE, we are expanding access to green finance, deepening our economic ties with South Korea and strengthening ADNOC’s position as a leader in lower-carbon energy."

By combining support from Asian export credit agencies with regional banking partners, ADNOC is building a diversified sustainable finance platform that aligns with international standards, underpins its decarbonisation plans and provides additional funding options for lower carbon projects across its operations in the years ahead.

With inputs from WAM