Ta’ziz secures US$2 bn funding for UAE’s methanol plant

Ta’ziz Methanol Company, a joint venture between Ta’ziz and Proman, has achieved financial close on US$2 billion financing for the UAE’s first world scale methanol plant in Al Ruwais Industrial City. The transaction was significantly oversubscribed, underscoring strong global confidence in TA’ZIZ’s strategy and the long-term fundamentals of Abu Dhabi’s industrial growth platform.

The financing package brings together 11 leading regional, European and Asian financial institutions, and includes a five-year US$1.8 billion conventional syndicated loan and a US$200 million Islamic facility. Both facilities were priced in line with international benchmarks, reflecting the project’s strong credit profile and disciplined execution.

Sumitomo Mitsui Banking Corporation (SMBC) acted as the exclusive financial advisor, while Abu Dhabi Commercial Bank (ADCB) and First Abu Dhabi Bank (FAB) served as bookrunners and mandated lead arrangers, designing the loan structure, leading the fundraising, taking the largest commitments, and coordinating the syndicate.

The financing builds on a series of key milestones achieved across the methanol project, including Final Investment Decisions by Adnoc, Ta’ziz and Proman, the award of the Engineering, Procurement and Construction (EPC) contract to Samsung E&A Co. Ltd., and the establishment of the Ta’ziz Methanol Company.

Construction of the methanol plant is progressing with completion targeted for 2028. Once operational, the plant will support the development of a domestic chemicals value chain, enabling local manufacturing, and reinforcing Abu Dhabi’s position as a globally competitive industrial hub.

The announcement supports Make it in the Emirates (MIITE) focus on delivery by securing the financing required to move strategic industrial projects from planning into construction. MIITE enables the UAE to keep building advanced industry by converting investor confidence into committed capital that underpins world-scale production and long-term industrial growth.