Today in the Daily Circuit, we’re looking at ADQ’s entry into Abu Dhabi’s toll and parking services, Saudi Arabia’s scrapping of municipal hotel management fees, the UAE’s $2.3 billion rail project with Jordan and Dubai’s new pro baseball field modeled on Yankee Stadium. But first, ADNOC teams up with America’s largest energy company.

The UAE’s state fuel company ADNOC is going into the hydrogen business with Exxon Mobil.

ADNOC signed an agreement in Abu Dhabi on Wednesday with the largest U.S. oil company to acquire a 35% stake in Exxon Mobil’s Texas hydrogen plant. The signing ceremony was witnessed by Sheikh Khaled bin Mohamed, Crown Prince of Abu Dhabi and Chairman of the Abu Dhabi Executive Council; Dr. Sultan Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Group CEO; and Exxon Mobil CEO Darren Woods.

The manufacturing facility in Baytown, Texas, produces up to 1 billion cubic feet per day of low-carbon hydrogen, with around 98% of carbon dioxide removed. The project is part of Exxon Mobil’s efforts to create a new business to make money out of cutting greenhouse gas emissions by other companies looking to decarbonise their own operations, Reuters reports.

ADNOC expects the massive scale of the project to make its hydrogen among the most competitive in the world, Michele Fiorentino, Executive Vice President of Low Carbon Solutions and Business Development, told Reuters, adding the company is “reasonably confident the demand will be there.” Financial terms of the deal weren’t disclosed though ADNOC indicated it would be worth billions of dollars, the news agency said.

FEES ZAPPED

Saudi Arabia is tearing down barriers to entry when it comes to tourism. Having poured billions into developing its Red Sea spas, historical desert sites and sporting events, the kingdom has decided to scrap municipal licensing fees for for hotels, hotel apartments, and residential resorts. The move reflects Saudi Arabia’s efforts to transform the economy away from its longtime dependence on oil and develop industries such as tourism, finance and manufacturing. It also aligns with the kingdom’s determination to strike a balance between making foreigners feel welcome while guarding the Islamic country’s conservative ideals.

CULTIVATING CONFIDENCE

Having been removed earlier this year from an international “gray list” of money-laundering havens,the UAE is locking in reforms aimed at cultivating investor confidence. The new rules are outlined in the government’s “2024-27 National Strategy for Anti-Money Laundering, Countering the Financing of Terrorism and Proliferation Financing,” which was introduced on Wednesday after receiving Cabinet approval. The 11-point plan, overseen by Sheikh Abdullah bin Zayed, the Deputy Prime Minister and Minister of Foreign Affairs, focuses on strengthening compliance mechanisms and enhancing international coordination with the Financial Action Task Force that maintains the gray list. The policy document also calls for vigilance against emerging threats such as cybercrime and the misuse of virtual assets.

💲 Sovereign Circuit

ADQ: The Abu Dhabi sovereign wealth fund has assumed responsibility for managing, operating, and developing the emirate’s DARB toll system, DARB, and its Mawakif municipal parking services.

Abu Dhabi Investment Authority: Shares of ADIA-backed Premier Energies more than doubled in the company’s debut on the Bombay Stock Exchange with its IPO on Tuesday.

Government Pension Fund Global of Norway: The world’s largest sovereign wealth fund, which manages $1.7 trillion in assets, may be required to divest shares of companies connected to Israeli military operations in Gaza and the West Bank after the Norwegian Finance Ministry received a letter from the government’s Council of Ethics on the issue, Reuters reports. Among the companies that could be affected are RTX and General Electric, the news agency said.

↪↩ Closing Circuit

🤝 Insurance Pump: Abu Dhabi-based RAKBANK raised $250 million on Wednesday after issuing its first Tier 2 securities, which were four times oversubscribed.

🚄 Railway Direct: The UAE and Jordan signed a series of agreements to cooperate on developing a $2.3 billion rail project linking two Jordanian mining regions with its Aqaba port.

🏗️  Bulk Constructions: Egypt’s Mass Developments launched a new residential and commercial project in New Cairo with an investment of more than $450 million.

🔒 Internet Guardian: Hypernative, an Israeli web security startup, raised $16 million in a Series A funding round led by Quantstamp.

🌐 Marketing Wiz: Verofax, a UAE-based interactive marketing startup, raised $3 million in a bridge funding round led by King Abdullah University for Science and Technology, Plug & Play Tech Center, Navig8 Group, and Trove Capital UK.

🗣 Circuit Chatter

🚀 ADGM Ventures: UAE-based Fuze signed a partnership agreement with Abu Dhabi VC fund Klumi Ventures to facilitate use of digital assets in the MENA region.

🌴 Partnership Building: Riyadh-based BIM Ventures struck a partnership agreement with Standard Chartered’s SC Ventures to invest together in Saudi startups.

🤖 AI Guidelines: The Qatar Central Bank announced new guidelines for the country’s financial institutions on the use of artificial intelligence.

💳  Pay Later: Tabby, a Dubai-based buy-now-pay-later platform, announced its acquisition of Saudi digital wallet startup Tweeq, which was signed this week at the 24Fintech event in Riyadh. Terms of the deal weren’t disclosed.

🍹 Cola Boycott: A boycott against Coke and Pepsi because of their sales to Israel has led to a 7% drop in their Middle East revenue and boosted local alternative brands like V7 in Egypt, Reuters reports.

🌍 Power Circuit

Sheikh Mohammed bin Rashid, Vice President and Prime Minister of the UAE and Ruler of Dubai, met on Wednesday with Makoto Uchida, President and CEO of Nissan Motor Corp. to discuss the new growth opportunities for automotive companies within the UAE.

Sheikh Mansour bin Zayed, Vice President, Deputy Prime Minister and Chairman of the Presidential Court, held a meeting with Sheikh Fahad Yusuf Saud Al-Sabah, First Deputy Prime Minister, Minister of Defense, and Minister of Interior of Kuwait, on Wednesday at the Qasr Al Watan palace in Abu Dhabi.

➿ On the Circuit

Petri Mannilawas appointed as Partner and Head of Prime Residential for real estate firm Knight Frank MENA, leaving Penthouse.ae, where he was Department Head of the luxury properties section.

Abhishek Pradhanwas named Regional Director of Direct Sales & Channel Alliance for the South Asian and Middle East region of enterprise software Hexnode.

🎶 Culture Circuit

⚾ Field of Dreams: Baseball United, the first professional baseball league focused on the Middle East and South Asia, is building a baseball field in Dubai. Modeled on New York’s Yankee Stadium, the park will feature advanced turf, cutting-edge LED lighting, and modular seating for up to 6,500 fans. The new league maintains it will be the only professional baseball field from Morocco to India.

📷 Photo of the Day

🗓️ Ahead on The Circuit

Sept. 1-7, Dubai, UAE: Dubai Fashion Week. Promoting Dubai’s creativity and fashion businesses to a worldwide audience. Dubai Design District.

Sept. 3-5, Al Alamein, Egypt: Egypt International Airshow. The gateway to aerospace in Africa and the Middle East. Al Alamein International Airport.

Sept. 3-5, Aqaba, Jordan. S0FEX 2024. Over 300 international defense and security companies from 38 countries attend the Special Operations Forces Exhibition and Conference (SOFEX). Aqaba International Exhibitions and Conferences Centre.

Sept. 3-5: Riyadh, Saudi Arabia. 24 Fintech. Ayman Al-Sayari, Governor of the Saudi Central Bank, delivers the keynote address in a conference focused on the kingdom’s financial industry. Riyadh Front Exhibition & Conference Center, Saudi Arabia.

Sept. 10-11, Dubai, UAE: Global Vertical Farming Show 2024. Annual event brings together investors, growers, and executives in the vertical farming industry from around the world. Le Méridien Dubai Hotel & Conference Centre. 

Sept. 10-12, Riyadh, Saudi Arabia: Global Artificial Intelligence Summit. A leading platform for advancing the global discussion on AI. King Abdulaziz International Conference Center in Riyadh.

Sept. 11-12, Dubai, UAE: Dubai AI & Web3 Festival. Bringing together the brightest minds to explore and expand the commercial possibilities of AI and Web3 technologies. Madinat Jumeirah.

Sept. 12, Dubai, UAE: U.S.-U.A.E. Space Relationship. U.S.-U.A.E. Business Council hosts a luncheon featuring astronaut Sultan Al Neyadi, Minister of Youth; Salem Al Marri, Director General of Mohammed Bin Rashid Space Centre; and U.S. Ambassador Martina Strong. Ritz Carlton Hotel, DIFC.

Sept. 15-19, Abu Dhabi: Loop Beyond Borders. Luxury travel fair brings together hotel owners, tour operators, travel agents and government officials. Saadiyat Rotana Resort & Villas and Anantara Qasr Al Sarab.

Sept. 16-18, Abu Dhabi, UAE: World Utilities Congress. Ministers, policymakers and industry leaders discuss strategies for driving growth and innovation across the power & water utilities value chain. ADNEC.

Sept. 24-25, Dubai, UAE: ACT Middle East Treasurers Summit. Corporate treasurers and financial professionals from across the region gather for policy discussions on issues ranging from cash management to sustainability. Grand Hyatt Dubai.

Sep. 30-Oct. 2, Dubai, UAE: Future Hospitality Summit. The global conference for leaders in the hospitality industry expands this year at a new location with dedicated space for ESG planning, country pavilions and a larger exhibition area. Madinat Jumeirah.