ADNOC says AI added $500 million of extra value in 2023

A person walks past a Abu Dhabi National Oil Company (ADNOC) poster during the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) in Abu Dhabi

By Yousef Saba

DUBAI (Reuters) -Abu Dhabi National Oil Company's (ADNOC) use of artificial intelligence generated $500 million of additional value last year, it said on Tuesday.

The state oil giant said it had already integrated more than 30 AI tools across processes from field operations to corporate decision-making, and planned to roll out the technology further.

ADNOC said an AI-linked programme to remotely monitor operational equipment has significantly cut the frequency of unexpected shutdowns and improved efficiency.

AI technology also plays "a central role" in mapping resources, assisting drilling and production activity and aiding reservoir management, allowing the company to grow production capacity and deliver lower carbon-intensity energy, it said.

Use of AI prevented up to 1 million tons of carbon dioxide emissions between 2022 and 2023, it said.

"Many of these initiatives generated greater automation (and) optimisation of our processes," Chief Technology Officer Sophie Hildebrand said.

"They improve efficiency, they've helped us make improvements to capex, opex, working capital, production - really, things that you can touch and measure," Hildebrand said.

"The ability for us to do more and more is growing as the technology grows," she said, adding that she expected the value generated by AI to rise but declining to provide figures.

ADNOC's AI tools include those developed by its AIQ joint venture with G42. Sources told Reuters in June the two companies were in early talks about a possible flotation of the venture.

AIQ tools used by ADNOC include SMARTi, which detects safety hazards in industrial and operational environments, and Robowell, which remotely operates equipment and flow valves to cut costs, boost safety and enhance production capacity.

ADNOC's partner in AIQ, G42, is part of a business empire overseen by Sheikh Tahnoun bin Zayed al-Nahyan, the UAE's national security adviser and brother of President Sheikh Mohammed bin Zayed al-Nahyan.

(Reporting by Yousef Saba; Editing by Kirsten Donovan and Jan Harvey)