Abu Dhabi National Oil Company (ADNOC) has made the final investment decision (FID) for the Habshan carbon capture, utilisation and storage (CCUS) project.

The proposed CCUS project will be able to capture and permanently store up to 1.5 million tonnes per annum (mtpa) of carbon dioxide (CO₂) under subterranean geological formations, the oil and gas giant said.

ADNOC expects the project to increase its capacity to capture CO₂ by threefold to 2.3mtpa, equivalent to eliminating more than 500,000 gasoline-powered cars from the road each year.

ADNOC Gas will build, operate and maintain the project for ADNOC.

It will consist of pipeline infrastructure, a network of CO₂ injection wells, and carbon capture units at the Habshan gas processing plant.

ADNOC executive director of low carbon solutions and international growth Musabbeh Al Kaabi said: “This landmark project is one of many tangible initiatives that ADNOC is delivering as we accelerate our decarbonisation plan to meet our Net Zero by 2045 ambition.

“As ADNOC continues its transformation towards a lower-carbon future, it is our intention to make further investments to significantly reduce our emissions, including in carbon capture and storage, and push the boundaries of innovation and technology with our partners, to build on our world-leading legacy and industry leadership in carbon management.”

In late July, ADNOC said it will bring forward its net-zero target to 2045 from the previous target of 2050.

The United Arab Emirates (UAE) state-owned oil and gas company has pledged to spend $15bn (Dh55bn) of decarbonisation investment on low-carbon solutions.

Last month, ADNOC joined forces with US energy company Occidental to collaborate on CO_₂ capture and storage projects in the UAE and the US.