The Continued Prominence of the Oil and Gas Industry in the Middle East

This article looks at the key elements of foreign participation, the value of industry events like ADIPEC, the role of regulations such as Abu Dhabi’s CICPA pass, recent industry updates in Qatar, and pathways for engaging with major players like Saudi Aramco.

The Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC)

As the world’s largest energy industry event, ADIPEC will celebrate its 40th edition next month, bringing together some of the industry's most prominent stakeholders.

With over 184,000 visitors expected to attend and featuring more than 2,200 exhibiting companies, including industry leaders, national and international oil companies and other related enterprises from around the globe, the event provides unique networking and investment opportunities.

As well as valuable insights into emerging trends like sustainability and digital technologies, for companies and investors, it’s a chance to connect with key industry players, discover new opportunities, and build new partnerships.

Abu Dhabi’s CICPA Pass and Navigating Regulatory Requirements

Aside from industry knowledge, tapping into and accessing these opportunities requires knowledge of the local regulatory landscape. For example, companies who want to engage with the energy sector in Abu Dhabi will need the Critical Infrastructure and Coastal Protection Authority (CICPA) pass.

If your company is involved in sectors such as oil and gas, energy, transport, and maritime, you’ll need to secure CICPA passes for your employees, particularly if your company plans to work in areas like offshore rigs, refineries, and power plants. The CICPA pass is an essential requirement for accessing these sites and complying with local regulations.

The process for obtaining a CICPA pass can be complicated, so it’s important for businesses to know the steps and requirements to ensure uninterrupted operations.

Saudi Aramco: Opportunities for Suppliers and Strategic Moves in the LNG Market

Saudi Arabia also presents substantial opportunities, especially those looking to become suppliers to Saudi Aramco, the national oil company in the Kingdom.

With procurement needs amounting to around $40 billion and a supply chain of more than 10,000 local and international companies, Aramco’s network provides a vast market for businesses to tap into. However, to join this network, companies must align with Aramco’s goals—primarily through the In-Kingdom Total Value Add (IKTVA) programme which is a key part of Aramco’s supplier process.

It aims to increase local content by encouraging suppliers to invest in Saudi Arabia’s economy, create jobs, and boost local manufacturing. To participate, companies first complete an IKTVA survey to determine their current local impact. Based on this, they work with Aramco to create a five-year plan to improve their IKTVA score. This not only supports the Kingdom’s Vision 2030 goals, but also boosts a company’s chances of winning contracts.

Aramco’s recent ventures into the liquefied natural gas (LNG) market are another sign of its expanding influence within the energy sector. The Hawiyah Gas Storage facility, launched as part of Saudi Arabia’s Vision 2030, is a critical project designed to manage domestic gas demand and reduce reliance on liquid fuels.

Meanwhile, Aramco’s investment in MidOcean Energy marks its entry into the international LNG market, tapping into rising global demand for cleaner energy. With stakes in four Australian LNG projects, MidOcean Energy gives Aramco a foothold in established LNG markets and further growth opportunities in sustainable energy.

Qatar’s Sponsorship Updates to Internationally Owned Oil and Gas Companies

Back in 2022, when Qatar hosted the FIFA World Cup, the country opened up new opportunities in the oil and gas industry by allowing international businesses into the sector. This extended to even permitting 100% foreign ownership of oil and gas companies in Qatar.

However, Qatar has now reintroduced the sponsorship requirement for the oil and gas sector, whereby a company has to engage with a local partner on a 51-49 ownership basis, in order to be able to engage in the sector.

As a local sponsor is now required in Qatar to enter the oil and gas market, Sovereign PPG can, through our local offices in Qatar, provide businesses with this sponsorship in an agreed local partnership.

The Opportunities for Oil and Gas Success in the Middle East region

The oil and gas industry remains a critical driver of economic growth in the Middle East, and as the region embraces both its traditional energy strengths and a shift toward sustainability, new avenues for collaboration and investment are opening up.

This balance of tradition with a forward-looking approach will be pivotal role in shaping both regional prosperity and the broader global energy market.

How Can Sovereign PPG Help?

With our in-depth knowledge of the Middle East energy sector and strong ties with local regulatory bodies, PRO Partner Group is well-equipped to help you navigate the opportunities in the region. Whether you’re looking to engage with major players like Saudi Aramco, establish in Qatar, participate in events like ADIPEC, or ensure compliance with regulations such as Abu Dhabi’s CICPA pass, we can guide you through every step of the process.

If you need assistance with company incorporation, compliance, local partnerships, or any other PRO support services in the UAE, Saudi Arabia, Qatar, or beyond, get in touch with us at +971 (0)2 448 5120 for Abu Dhabi, or email us at info@propartnergroup.com, or fill out the contact form on our website.