February 23, 2026

New Collaboration between ADNOC, Masdar, and Microsoft for AI and Clean Energy

High-tech collaborative meeting room with representatives from ADNOC, Masdar, and Microsoft discussing AI and renewable energy initiatives.

During the ADIPEC 2024 event in Abu Dhabi, ADNOC, Masdar, and Microsoft unveiled a new strategic partnership aimed at advancing artificial intelligence (AI) initiatives and reducing carbon emissions in the energy sector. This collaboration seeks to harness renewable energy to power Microsoft’s data centers, enhance ADNOC’s operational efficiency, and develop AI-based decarbonization projects, including carbon capture and the production of low-carbon ammonia and hydrogen.

Context and Goals of the New Alliance

This partnership aligns with the United Arab Emirates’ energy transition strategy and aims to decarbonize the global energy system. ADNOC, Masdar, and Microsoft are leveraging their respective expertise to hasten the shift towards a more sustainable economy. Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, emphasized the significant potential impact of AI on the energy landscape and the importance of collaboration to maximize AI’s benefits in this dynamic sector.

Innovation and Clean Energy Initiatives

The collaboration lays out several key areas of focus. First, the companies will assess opportunities to supply renewable energy to Microsoft’s data centers with the support of Masdar, where ADNOC holds a strategic share. Secondly, they will explore the use of AI to advance projects for carbon capture and storage as well as the production of low-carbon ammonia and hydrogen. This initiative also includes accelerating AI deployment within ADNOC’s operations to optimize efficiency, reduce methane emissions in line with the oil and gas decarbonization charter, and enhance biodiversity monitoring.

Insightful Impacts and Future Perspectives

This collaboration builds on the recent report “Powering Possible: AI and Energy for a Sustainable Future,” co-authored by ADNOC, Masdar, and Microsoft. The report highlights the importance of cross-sector collaboration to leverage AI’s potential in expediting the energy transition. ADNOC’s AI tools have already enabled a reduction of one million tonnes of CO₂ emissions and generated $500 million in value between 2022 and 2023, underscoring AI’s crucial role in promoting sustainable operational practices.

In summary, this collaboration among ADNOC, Masdar, and Microsoft marks a significant step towards more effective use of AI to speed up the transition to clean energy. With shared goals of decarbonization and sustainability, this initiative offers promising prospects for a more environmentally friendly energy future in the United Arab Emirates and beyond.

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