ADNOC, Masdar, XRG and Microsoft have announced a landmark strategic agreement to accelerate artificial intelligence (AI) deployment across ADNOC’s value chain and develop sustainable energy solutions to power Microsoft’s global AI and data centre operations. The collaboration was unveiled at the ENACT Majlis in Abu Dhabi, ahead of ADIPEC 2025.
The agreement marks a significant expansion of ADNOC and Microsoft’s long-standing partnership, with Masdar and XRG joining to drive innovation at the intersection of AI and clean energy. Together, the partners will work on projects and infrastructure that support Microsoft’s worldwide AI growth, underscoring Abu Dhabi’s role as a global hub for energy and digital transformation.
As part of the partnership, ADNOC and Microsoft will co-develop and deploy AI agents to enable autonomous operations and enhance efficiency, leveraging ADNOC’s experience in integrating AI solutions across its value chain. Microsoft will contribute advanced AI tools and upskilling initiatives, while both companies will explore a joint innovation ecosystem to accelerate AI-led progress in the energy sector.
Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, ADNOC Managing Director and Group CEO, Executive Chairman of XRG and Chairman of Masdar, said, “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. Through our partnership with Microsoft, we are unlocking new opportunities to fuel the future of AI, drive greater performance, and future-proof our business.”
ADNOC has been at the forefront of digital transformation in the energy sector. In November 2023, it became the first energy company to roll out generative AI enterprise-wide through Microsoft Copilot. Since then, more than 40,000 employees have undergone AI training, achieving utilisation rates above 90 percent and generating over 70,000 hours of productivity gains each month.
Brad Smith, Vice Chair and President of Microsoft, said, “No single company or industry can meet this moment alone. 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 collaboration builds on insights from the 2025 Powering Possible Report, a joint study by ADNOC and Microsoft that gathered perspectives from more than 850 global experts to explore how AI is transforming the future of energy.
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