UAE Oil and Gas Market Overview

Market Size in 2024: 3.4 BPD

Market Size in 2033: 4.9 BPD

Market Growth Rate 2025-2033: 3.7%

According to IMARC Group’s latest research publication, “UAE Oil and Gas Market Trends, Share, Size, Growth, Opportunity and Forecast 2025-2033", the UAE oil and gas market size reached 3.4 BPD in 2024. Looking forward, IMARC Group expects the market to reach 4.9 BPD by 2033, exhibiting a growth rate (CAGR) of 3.7% during 2025-2033.

How AI is Reshaping the Future of UAE Oil and Gas Market

• AI is transforming UAE oil and gas by automating operations and predicting equipment failures before they happen, saving time and cutting costly downtime significantly.
• ADNOC’s ENERGY Ai, developed with AIQ, uses advanced AI agents to enhance reservoir management and optimize energy production with lower emissions.
• The Abu Dhabi Department of Energy’s partnership with AIQ and Presight is creating a global AI Center for energy, improving operational efficiency across water, electricity, and petroleum sectors.
• Satellite-enabled AI solutions like those from Space42 and nybl boost oil well productivity by up to 5%, extending pump lifespans by up to 30% and reducing operational costs.
• UAE government initiatives, including UAE AI Strategy 2031 and AI-driven smart grid projects, are accelerating AI adoption to optimize energy use and support sustainable growth.

Claim Your Free "UAE Oil and Gas Market" Insights Sample PDF

UAE Oil and Gas Market Trends & Drivers:

Three major factors currently driving the growth of the UAE oil and gas market are substantial upstream investments, the expansion of liquefied natural gas (LNG) infrastructure, and the integration of smart technologies. The UAE continues to ramp up its exploration and drilling activities, with significant capital being poured into both onshore and offshore projects, particularly in Abu Dhabi. For example, the Abu Dhabi National Oil Company (ADNOC) is investing billions to enhance production capacity and develop gas fields, ensuring robust supply to meet increasing domestic and international demand. This supports the UAE’s position as a key global energy supplier, as it expands crude oil output and gas reserves to fuel sustained growth.

The second driving force is the rising demand for natural gas and LNG, which has become central to the UAE’s energy diversification strategy. The UAE is expanding its LNG production capacity with large-scale projects like the Ruwais LNG facility, which has a 6 million metric tonnes annual capacity and is undergoing upgrades to double output. Long-term supply agreements with major Asian markets such as India further underline the importance of LNG exports in diversifying revenue streams and providing cleaner energy alternatives. This shift is complemented by growing gas discoveries and increased domestic consumption for power and industry, highlighting LNG’s pivotal role in the country’s evolving energy landscape.

Lastly, technological innovation and smart infrastructure advancements are reshaping the market by improving operational efficiency and reducing costs. The UAE oil and gas sector is adopting digital monitoring, automation, and advanced processing platforms to optimize production and logistics. ADNOC’s initiatives include localizing critical oilfield technology and investing in STEM education to build a future-ready workforce. These efforts, combined with supportive government policies and regulatory frameworks, empower the sector to embrace sustainability without sacrificing growth. This balance ensures the UAE can meet energy demand while progressing towards cleaner, more efficient production practices, reinforcing its competitive edge globally.

UAE Oil and Gas Industry Segmentation:

The report has segmented the market into the following categories:

Type Insights:

• Upstream
• Midstream
• Downstream

Application Insights:

• Offshore
• Onshore

Regional Insights:

• Dubai
• Abu Dhabi
• Sharjah
• Others

Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players.

Recent News and Developments in UAE Oil and Gas Market

• 2025 August: ADNOC Gas signed a 10-year LNG supply agreement with India’s Hindustan Petroleum Corp, securing 500,000 metric tonnes annually from its Das Island facility with 6 million metric tonnes capacity, strengthening UAE's presence in key Asian markets and supporting clean energy demand.

• 2025 August: ADNOC Drilling plans continued expansion with acquisitions in Kuwait and Oman, aiming to enhance offshore oil and gas rig operations beyond the UAE, indicating the company’s growth and regional influence in drilling technologies.
• 2025 July: Borouge, in partnership with Honeywell, advanced AI-powered autonomous operations across its Ruwais petrochemical facilities, deploying full-scale real-time AI control rooms to enhance production efficiency, energy savings, and safety, marking a significant innovation leap in UAE’s petrochemical sector.

Note: If you require specific details, data, or insights that are not currently included in the scope of this report, we are happy to accommodate your request. As part of our customization service, we will gather and provide the additional information you need, tailored to your specific requirements. Please let us know your exact needs, and we will ensure the report is updated accordingly to meet your expectations.

About Us:

IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provides a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.

Contact Us:  

IMARC Group 

134 N 4th St., Brooklyn, NY 11249, USA 

Email: sales@imarcgroup.com

Tel No:(D) +91 120 433 0800 

United States: +1-201971-6302