ADNOC Gas Achieves $1.1 Billion Profit Amid Hormuz Challenges

In an impressive operational display, ADNOC Gas reported a net income of $1.1 billion for Q1 2026, demonstrating robust financial health despite challenges posed by regional disruptions affecting export routes.

The firm adeptly catered to domestic demand across the UAE while adeptly managing logistics and supply chains during the maritime disruptions through the Strait of Hormuz.

CEO Fatema Al Nuaimi emphasized the company’s commitment to safeguarding employees and assets, maintaining a steady domestic gas supply, and enhancing shareholder value through meticulous management in this testing period.

ADNOC Gas generated $572 million in free cash flow during the first quarter and closed the period with cash reserves amounting to $4.2 billion, underlining its solid financial foundation.

The Board of Directors approved a quarterly dividend sum of $941 million, set to be disbursed in June 2026, reaffirming the company’s annual dividend growth target of 5 percent through 2030.

The long-term growth outlook for ADNOC Gas remains intact, aiming for an EBITDA increase surpassing 40 percent from 2023 to 2029.

With positive economic indicators in the UAE, bolstered by heightened industrial activity and growing domestic energy demand, ADNOC Gas identifies the $5 billion TA’ZIZ supply agreement and ADNOC’s $55 billion investment in local manufacturing under the “Make it in the Emirates” initiative as pivotal to future growth trajectories.

As the primary gas provider for the UAE's power generation and industrial sectors, ADNOC Gas anticipates sustained demand growth from both domestic and industrial clientele.

During this quarter, the company addressed two security-related challenges at its Habshan facility on April 3rd and 8th. In response, ADNOC Gas promptly implemented safety protocols to minimize operational disruptions.

Approximately 60 percent of processing capacity at the Habshan complex was restored rapidly, with plans to elevate restoration to 80 percent by the conclusion of 2026, anticipating full operational capacity by 2027.

ADNOC Gas added that a comprehensive technical review of the incidents is nearing completion as efforts persist in a demanding supply chain environment.