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ADNOC, Masdar, XRG and Microsoft on Sunday announced a strategic agreement to accelerate the use of artificial intelligence across ADNOC’s value chain and deliver energy solutions to support Microsoft’s global AI and data centre expansion.
The collaboration, unveiled at the ENACT Majlis in Abu Dhabi ahead of ADIPEC, builds on ADNOC and Microsoft’s existing partnership and brings Masdar and XRG into the effort to develop sustainable energy projects and infrastructure for Microsoft’s global operations.
Under the agreement, ADNOC and Microsoft will jointly develop and deploy AI agents to drive autonomous operations, improve efficiency and reduce emissions.
Microsoft will also provide advanced AI tools and training programmes, while both firms explore creating a joint innovation ecosystem to build next-generation solutions for the energy sector.
“As AI continues to reshape how value is created and enhanced across industries, ADNOC, Masdar and XRG are not only embedding AI into every layer of our operations, we are also advancing the energy systems that will power AI itself,” said Dr Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, ADNOC MD and group CEO, executive chairman of XRG and chairman of Masdar.
“Through our partnership with Microsoft, we are unlocking new opportunities to fuel the future of AI, drive greater performance, and future-proof our business,” added Dr Al Jaber.
ADNOC rolled out GenAI in November 2023
ADNOC was the first energy company to roll out generative AI enterprise-wide in November 2023 using Microsoft Copilot.
More than 40,000 employees have since completed AI training, with utilisation rates above 90 per cent and productivity gains exceeding 70,000 hours per month.
“No single company or industry can meet this moment alone,” said Brad Smith, vice chair and president of Microsoft. “Accelerating the transition to a more sustainable, secure, and inclusive energy future requires deep collaboration between governments, energy providers, technology companies, and innovators everywhere.”
The agreement reinforces Abu Dhabi’s position as a global energy innovation hub, combining ADNOC’s industrial leadership, Microsoft’s digital capabilities, and Masdar and XRG’s clean energy expertise.
It also builds on the 2025 Powering Possible report, jointly published by ADNOC and Microsoft, which draws insights from more than 850 global experts on how AI is transforming the energy industry.
