- Region: The Middle East
- Energy and Natural Resources
April 28, 2014
The Japan Bank for International Cooperation (JBIC; Governor: Hiroshi Watanabe) signed on April 27 a memorandum of understanding (MOU) on cooperation in the environment sector with Abu Dhabi National Oil Company (ADNOC), the state-owned oil company of the United Arab Emirates (UAE) based in the Emirate of Abu Dhabi (Abu Dhabi). The signing ceremony was attended by State Minister Akaba of the Ministry of Economy, Trade and Industry.
ADNOC is a national oil company wholly owned by the Government of UAE and engaged in oil and natural gas business in Abu Dhabi where most of oil and natural gas in UAE is produced. JBIC had previously signed three MOUs—in April 2007,*1 November 2010*2 and December 2012*3—with ADNOC for building and developing comprehensive and strategic partnership in the area of oil and natural gas development. The MOU signed with ADNOC this time will further develop and expand cooperative ties in the environment sector between JBIC and ADNOC.
UAE has been a stable supply source of crude oil to Japan over the past three decades. In addition, as it permits the entry of foreign oil companies based on concession agreements, it is a very important country for Japan's resource strategy. When Prime Minister Abe made a visit to UAE in May 2013, Japanese leaders and UAE leaders, including H.H. General Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of the Emirate of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces issued the Joint Statement on the Strengthening of the Comprehensive Partnership between Japan and the UAE towards Stability and Prosperity ("Joint Statement"). It confirmed comprehensive partnership in broader areas, including political, economic, cultural and human exchange, thereby expanding multilayered partnership between Japan and UAE. The Joint Statement also emphasized the importance of the environment sector, including clean and renewable energy and climate change, in addition to the traditional priority on oil and gas. When H. H. General Sheikh Mohammed bin Zayed Al Nahyan made a visit to Japan in February 2014, he and Prime Minster Abe confirmed the further strengthening of this Comprehensive Partnership.
The signing of this MOU with ADNOC is consistent with the policy indicated by the company of reducing greenhouse gas (GHG) emissions, harnessing renewable energy, promoting sustainable environment and ecology, and efficiently utilizing energy and water resources, as well as the Joint Statement issued by both governments. Thus it will contribute to strengthening bilateral relations between Japan and its strategically important resource-endowed country. JBIC will continue to support securing stable supply of energy resources to Japan by further strengthening relations with ADNOC with this MOU.
- *1 See Press Release on May 1, 2007.
- *2 See Press Release on November 4, 2010.
- *3 See Press Release on December 11, 2012.