Earnings call transcript: ADNOC Gas Q3 2025 sees record net income

ADNOC Gas reported its highest-ever third-quarter net income of $1.34 billion, marking an 8% increase year-over-year. The company's robust financial performance was driven by strong domestic gas sales and strategic investments in new technologies. Despite the impressive earnings, the stock price remained stable, reflecting a cautious market reaction.

Key Takeaways

• Record third-quarter net income of $1.34 billion, up 8% YoY.
• EBITDA margin exceeded expectations, reaching 36.6%.
• Significant CAPEX investments, with $20 billion committed to major projects.
• Quarterly dividend of $896 million approved.
• UAE gas demand projected to grow 4-5% annually.

Company Performance

ADNOC Gas's performance in Q3 2025 showcased its strong market position and strategic growth initiatives. The company's net income for the first nine months of the year increased by 30%, from $308 million to $399 million. This growth was bolstered by a 4% year-over-year increase in domestic gas sales volumes and a 26% rise in domestic gas EBITDA, which reached $914 million. The company also reported a significant increase in CAPEX, which climbed 64% year-over-year to $827 million.

Financial Highlights

• Revenue: Not specified in the earnings call summary.
• Earnings per share: Not specified in the earnings call summary.
• Net income: $1.34 billion, up 8% YoY.
• EBITDA margin: 36.6%, exceeding the previous guidance of 33-35%.
• Quarterly dividend: $896 million approved.

Outlook & Guidance

ADNOC Gas plans to expand its capacity by 30% by 2029, reflecting its confidence in the growing demand for gas in the UAE and Asia. The company has extended its dividend policy, projecting $24.4 billion in dividends through 2030, with a 5% annual increase. Key strategic initiatives include the development of autonomous operations and AI-driven production optimization, which are expected to yield $300 million in maintenance and inspection cost savings.

Executive Commentary

CEO Fatema Al Nuaimi emphasized the strong demand for gas in the UAE and Asia, stating, "Gas demand remains strong in the UAE and Asia." CFO Peter van Driel highlighted the company's disciplined investment approach, noting, "We never take projects that have an unlevered return that is not in the mid-teen domain."

Risks and Challenges

• Potential end of a tax holiday in 2027, which could impact profitability.
• High CAPEX commitments may strain financial resources if market conditions change.
• Fluctuations in global energy demand could affect revenue projections.
• Dependence on the UAE market, which could be affected by regional economic shifts.

Q&A

During the Q&A session, analysts inquired about the company's strategies for future gas infrastructure developments, particularly in relation to AI data centers. Executives also clarified the gas sales mechanisms in GCC markets and the flexibility in pricing for different customer segments. These discussions highlighted ADNOC Gas's focus on leveraging existing infrastructure to meet growing demand efficiently.

Full transcript - ADNOC Gas PLC (ADNOCGAS) Q3 2025:

Host/Moderator, ADNOC Gas: Welcome to the ADNOC Gas Q3 2025 earnings call. Following the formal presentation, there will be a question-and-answer session. During Q&A, participants will be able to ask both text and live audio questions. To ask a text question, select the messaging icon, type your question in the box towards the top of the screen, and press the send button. To ask a live audio question, press the request-to-speak button at the top of the broadcast window. The broadcast will be replaced by the audio questions interface. Press join queue, and then, if prompted, select allow in the pop-up to grant access to your microphone. You'll then be placed in the queue where you'll be able to listen to meeting proceedings while you wait for your turn to speak. I will introduce each caller by name and ask you to go ahead.

You'll then hear a beep indicating your microphone is live. I'll now hand you over to Richard Griffith, Vice President of Investor Relations.

Richard Griffith, Acting Vice President of Investor Relations, ADNOC Gas: Good afternoon and welcome to the ADNOC Gas Q3 2025 earnings call. My name is Richard Griffith, and I'm Acting Vice President of Investor Relations at ADNOC Gas. Next slide, please. As a publicly listed company, I need to remind you of our disclaimer on this slide, which we encourage you to read. It contains important information, and we advise caution on the interpretation and limits of historical data and forward-looking statements. For reference, the presentation slides are available on our Investor Relations website. Next slide, please. Presenting today will be our CEO, Fatema Al Nuaimi, and CFO, Peter van Driel. I will now pass over to Fatema to go through the key highlights for the third quarter.

Fatema Al Nuaimi, CEO, ADNOC Gas: Thank you, Richard, and thank you, everyone, for joining us today. Our results for the third quarter, which we'll come to shortly, have been very promising, a testament to the strength and resilience of our business model. ADNOC Gas is exceptionally well-positioned to capture future growth opportunities in both domestic and international gas markets that should deliver long-term value for its shareholders. As you can see on this slide, gas demand remains strong in the UAE and Asia. UAE demand is expected to grow 4%-5% a year, while Asia's energy needs are expected to rise one and a half times by 2030. In addition, new demand from AI data centers could add a further 13% to global energy demand.

We are well placed to meet this demand through our plan to expand our capacity by about 30% by 2029, with $20 billion of CAPEX already committed to our key projects: MIRAM, Rich Gas Development (RGD), and Railways LNG, all under execution. These projects drive our 40% EBITDA growth by 2029. Confidence in our resilience, growth, and ability to deliver resulted in an announcement at the recent ADNOC Majlis that we are extending our dividend policy of 5% per annum by three years to 2030. In addition, from Q3 2025 onwards, we intend to pay quarterly dividends, with our first payment expected in early December. This would result in $24.4 billion in dividends to our shareholders through 2030. Next slide. Now, I'm pleased to share our continued progress and record performance for the third quarter this year.

We recorded adjusted net income of $1.34 billion for the quarter, which is 8% up year on year, making it the highest-ever third quarter net income in our history. Again, our results demonstrate the resilience of our business model, even in a lower oil price environment. Zooming into the domestic market this quarter, our third quarter results were underpinned by the domestic gas business that delivered adjusted EBITDA of $914 million, representing a significant 26% year-on-year increase. Domestic sales gas volume were up 4% year-on-year, while there was a structural improvement in underlying margins from contract renegotiation and robust gas-to-electrons demand from neighboring countries, marked GCC markets, that resulted in additional sales volumes. Looking at our growth projects during the quarter, CAPEX reached $827 million, a significant year-on-year increase of 64% as we continue to invest through the cycle to achieve our 40% EBITDA growth target by 2029.

For the first nine months of 2025, our free cash flow generation not only covered CAPEX but also dividends. This reflects a disciplined capital structure that balances investments into growth projects with continued shareholders' returns through dividends. Finally, on the dividends, our Board of Directors has approved our internal dividend of $896 million for Q3, our first-ever quarterly dividend, in line with our updated dividend policy to distribute on a quarterly basis. As I mentioned earlier, we have also extended our 5% per annum dividend growth until 2030. We have now successfully commissioned IGDE2 on time and budget. This strategic project boosts our offshore gas processing capacity and connects that to our onshore facilities. This is a significant milestone in our growth program. Finally, a few thoughts on AI as we continue to deploy this across our operations to unlock value creation.

We've just signed a multi-year partnership with AIQ and Gecko Robotics, which is expected to deliver over $300 million in maintenance and inspection cost savings over the next five years. By integrating AI and robotics into asset inspection and maintenance, the program will enable predictive maintenance, reduce shutdown-related costs, and extend assets' lifespan, directly improving our operational efficiency and lowering our expenses. In addition, we are also moving forward with our autonomous operations, AI-driven production optimization, intelligent asset performance-related initiatives, with the ultimate aim to unlock more value and create more value to our investors. I will now hand over to our CFO, Peter, to walk us through our financial performance in more details.

Richard Griffith, Acting Vice President of Investor Relations, ADNOC Gas: Good afternoon and thank you, Fatema. Welcome to the earnings call as well on my behalf. Let me start with an overview. We have seen that we have a record-high third quarter. The first slide, however, just looking at the year-to-date numbers, and we're comparing 2023, 2024, and 2025 here. What you see is that the net income in the period from 2023 to 2025 has increased by 30%. That is from $308 million to $399 million the first nine months of this year. Note that this occurred in a lower oil price environment. 13%, if you do the math, you go from $82 per barrel in 2023 to $71. That is a key proof point in the resilience of the company. What is growing? It is the domestic market.

You can see it in the slide, what the increase in netcom is, which is the yellow light-colored part at the bottom. That is a contribution of $600 million if we compare 2025 with 2023. The pricing impact, the 13% lower oil price, impacts the export, and that's in darker green. Those are products like naphtha, condensate, LNG, and LPG as export products. Now, LPG, those prices were quite resilient, more than the other export products, actually, in the first half of 2025. You saw some weakening in the third quarter of 2025, and it's now more in line with the historic correlation between Brent and LPG. We definitely benefited from LPG pricing strength in the first half of this year. If we go to the next slide, a little bit more of an insight into how the pricing has behaved.

If you look at the bottom left, you see that the LPG pricing was 10% lower year-on-year. Brent was falling 14% year-on-year. You also see that the naphtha pricing is now, again, also more in line with Brent. The last marker is JKM. This is the price marker for LNG. You see that the LNG pricing was very different in a positive way from Brent. It shows how the energy market is developing at this moment on the back of stronger demand in this year. Let's go to the next slide. Now, if I zoom in on the quarterly results, Q on Q, it again shows the strength of the domestic gas market, right? We've increased, as you can see, our net income by 8%. The domestic gas contribution by far outweighs the reduction in the export due to lower pricing environment.

This, again, and I may sound like a broken record, supports the resilience of our business in a pricing environment. Do not forget that two-thirds of our volumes actually find a home in the UAE, the domestic market. Next slide. If you look at this domestic market, EBITDA has increased by $690 million. That is between 2023 and 2025, both year-to-date nine months. If the top line on the left-hand side is the sales quantity, the 7% is the growth in volume of our sales in the UAE. Now, if you compare that with the EBITDA that has grown by 36%, it is evident that our margins have truly improved, which is on the back of a lot of commercial initiatives that the company has undertaken in the last two years.

I'm quite confident that we can further improve the profitability in the domestic market, basically serving new customers or existing customers that want to further expand their operations. Thirdly, customers like in the power sector require more flexibility. You see that on the right-hand side, the power sector is quite an important customer segment for us. Next to that, you have the heavy industries, and then you have group companies that we are providing gas products to. On the heavy industries, that is an area, for example, where you have the aluminum, the cement, and the steel production. ADNOC Gas is serving 100% of their needs. The gas power segment is very much linked to the growth in the population in the UAE. If you follow that as a metric, you will understand why the domestic gas market is performing as it does. Next slide.

On this slide, we are showing the same on a quarterly basis. I think the long and short of it is it does not matter which time period you choose. In any case, the volume impact is positive, more sales. The EBITDA development is even stronger than the increase in sales volumes, which signals an underlying improvement in your margins. We ended the quarter for the up-to-date total results with an EBITDA margin of 36.6%. For the ones who were with us from day one, you may remember that at the time we guided for an EBITDA margin of 33-35%. That was only two years ago. It is again a proof point of how much we have been able and will continue to work the domestic gas market. Next slide. Now we focus on the export markets. This is where you see both the impact of volumes.

Mind you, that's Q1. We guided and helped you with that, but also to a certain extent, the last quarter of 2024 was impacted by scheduled maintenance. That is something that is typical for our industry. At the bottom, you see how the EBITDA gets impacted by the pricing. On the right-hand side, you see the numbers that illustrate by point volumes slightly down, and the EBITDA margin is down 9%. Bear in mind that the drop in Brent was more than the difference between the 9% and the 2%. Next slide. Cash flow. The financial framework of the company is extremely strong. Today, we have hardly any leverage in the balance sheet. The only thing we're using is facilities for working capital purposes. ADNOC Gas has an extremely strong balance sheet.

You can see from the graph, if we look at the numbers exporting capital nine months after this year, that the CAPEX, first of all, is stepping up. That is, I think, consistent with what we've been saying all along. We have enough free cash flow to honor our dividend commitment quarterly, as the CEO mentioned. It will be paid, by the way, no later than December 12th, so that investors do not have to wait that long. Over time, if we were to extrapolate this graph into the future, you will see that a part of the CAPEX that is growing, about $3 billion a year, will be financed. We have a loan facility already in place of $4 billion that we can draw down anytime we like if the need arises.

Twenty twenty-five has now concluded as a company that generates such strong cash flows that it did not even have to use its balance sheet. We will in the future, but in twenty twenty-five, we've not. Next slide. Outlook. I mentioned the EBITDA margin, right? We are at 36.6%. The second point I want to make is that ADNOC Gas is subject to some seasonality. The third quarter tradition is always the strongest quarter for the ones living in this part of the world that recognize that it can be somewhat warm during summer here and that has an impact on the consumption of gas in the country. Q4 is traditionally where we also undertake some of our maintenance activities.

The other point I wanted to make is if you look at the net profit unit margins for the fourth quarter, we have not included the gas-to-electron proceeds because that's done through auctions, and we do not know upfront whether we will be successful in those auctions. Other than that, I think this should provide you with all the clarity you need to come to an assessment of how the year 2025 will play out. I think that's it. I'm handing back to Richard for our Q&A session.

Fatema Al Nuaimi, CEO, ADNOC Gas: Thank you. Thank you, Peter. I'll hand over to the looming host to schedule the Q&A.

Host/Moderator, ADNOC Gas: Thank you. Before we get to our first question, just a reminder on the process. If you'd like to ask a text question, select the messaging icon, type your question in the box towards the top of the screen, and then press the send button. If you'd like to ask a live audio question, press the request to speak button at the top of the broadcast window. The broadcast will then be replaced by the audio questions interface. Press join queue, and then if prompted, select allow in the pop-up to grant access to your microphone. You'll then be placed in a queue where you'll be able to listen to meeting proceedings while you wait for your turn to speak. When it is your turn to speak, I will introduce each caller and ask you to go ahead. You'll then hear a beep that will indicate your microphone is live.

Our first question is an audio question. Caller, if you could please go ahead after you hear the beep.

Fatema Al Nuaimi, CEO, ADNOC Gas: Shall I step in and repeat the question if that's helpful? The question is coming from Ahmed Kamal Azimut, and he asked if we can elaborate a little bit more on the decline in the effective tax rate in the first nine months of this year. The second question is that related to more profits coming from the domestic gas business. Last but not least, he wants to know if there's any update on a tax holiday. I think you see indeed a decline in the effective tax rate. That is because on the export of our business, we pay 55% tax. On the domestic gas business, the tax rate is 15% on the first $1 billion taxable income and 35% above the first $1 billion taxable income. However, there is a tax holiday.

That means that the domestic gas market at this moment is not subject to tax. That tax holiday will end late 2027. The other question that was asked is, is this tax holiday going to be extended? I can only say, I do not know. I think that we should all be reminded, and that is a fact, on why the tax holiday was granted in the first place at the time of IPO. The rationale at the time was the company invests in the UAE, builds infrastructure, develops the economy. At the time, by the way, the investment outlook showed $13 billion. That was the rationale for the Department of Finance government granting us a tax holiday. Now, we all understand the magnitude of the tax holiday. It is a big amount of money.

We will, of course, do our utmost best to see if something else could be accommodated, but at this moment, I've got zero moves on that.

Host/Moderator, ADNOC Gas: Thank you. Our next question is from Soha Sanyur from Arqaam Capital. Can you explain why LNG volumes dropped that much in Q3 2025 if maintenance is yet to be executed in Q4 2025?

Fatema Al Nuaimi, CEO, ADNOC Gas: Okay, thanks. That's a very simple question to answer because the maintenance I refer to in Q3 was for LNG production. The maintenance that follows in Q4 was more for other facilities. The LNG had two trains, if I remember correctly, down for scheduled maintenance, and that impacted our LNG sales.

Host/Moderator, ADNOC Gas: We will now go to an audio question again. Caller, please go ahead after you hear the beep. If you're there, caller, please go ahead and ask your question. Okay, obviously, we can't hear from them. We next have an anonymous question that says, what are some of the operational advantages that Ruwais LNG will bring compared to the Das LNG facilities?

Okay, I'll take this. ROE LNG, of course, we're talking 50 years difference of the time of commissioning between the two projects. There is much advanced technology utilized and going to be in ROE LNG. The main advantage would be that this is going to be electric-driven facilities tapping into their clean energy, which reflects again on the level of emissions of the facilities. This also reflects on reliability and more efficiency operationally wise, and even the demanding and the operating of these assets. This is going to be state-of-the-art facilities.

Okay, we'll go back to the phones. Our next question is an audio question from Abhishek Kumar. Please go ahead after you hear the beep.

Abhishek Kumar, Analyst: Yeah, thank you for the opportunity to ask the question. I have a question around CAPEX. Obviously, I mean, you have $20 billion of CAPEX spread until 2029, which covers some of the major projects. You also have one project, Bab Gas Haakon Sandborg, which is going to be FID next year. There was also an announcement in the Majlis that the unconventional project is moving forward from ADNOC, and a big portion of that would be gas. Should we assume additional CAPEX coming to ADNOC Gas to link the facilities that would get developed as part of this unconventional gas development? Again, I mean, how that would impact your overall volumes going forward?

Fatema Al Nuaimi, CEO, ADNOC Gas: Okay, thank you for the question. Today, our committed CAPEX is $20 billion, and that is a combination of four large projects, IGD2, which is almost now the CAPEX bill reduced to virtually no money left because it's done, it's up and running. Then we have Mehran, the ethane extraction, and you see the increase in CAPEX this year is very much due to Mehran. ROE LNG is going to be coming to OPCO Gas at cost in the second half of 2028, so that will cause a spike in CAPEX in that year. Last but not least, we have the first phase of the rich gas development, which is the bottleneck. The four projects and, of course, our normal care and maintain CAPEX gives you $20 billion. We have two investment decisions to make in the first half of 2026. Both relate to the rich gas development.

It is phase two and three. Those projects are respectively a gas processing train and a fractionation train. We will make the FID once we have full clarity and visibility on how much extra gas will come to us that justifies an investment in extra new capacity. We want to have clarity on the composition of the gas that's coming to us. If you have enough rich gas in your mix, you can fractionate that, which is part of the third phase, and export the gas. Those are the two key questions that we need to answer as part of the FID decision moment. If we would take FID, then I expect that the CAPEX for each of those two projects will be in the order of magnitude of $3.5 billion-$4 billion. The final number we will only know once the tender process is completed.

Do not take this as gospel and try to help by giving you a range. If you were to take FID on the two, your committed CAPEX would increase if you have taken FID, and in theory, it would add up to about $27 billion and $28 billion respectively. That is the outlook, but the FID decision must still be made in the first half of 2026. We then also have another great opportunity in our funnel, which is again subject to FID, which is the Bab Gas Haakon project. That will be slightly later in 2026 when we take an investment decision on that. Our objective is to accommodate the growth from upstream, and that can be conventional and unconventional onshore, offshore.

We are ready to process those additional volumes, and we have the opportunity in the first phase to use our existing infrastructure so you improve on your utilization. It is a capital-light way of growing. The next step is you get the benefit from the de-bottlenecking from the rich gas development, which is currently under execution. The third step is that you start to invest potentially in new infrastructure, in two new trains. I hope that answers your question.

Host/Moderator, ADNOC Gas: The next question is also an audio question. Caller, if you're on the line, please go ahead after you hear the beep. Caller, if you heard the beep, could you please go ahead and ask your question? Okay, we'll move on to the next question, which is a text question from Faisal Azmeh at Goldman Sachs. Can you talk a bit about the phase two, three expansion and the expected returns from these projects, and how does phase one play into achieving these returns? Would all three projects combined allow the company to achieve high-digit returns on the combined CAPEX?

Fatema Al Nuaimi, CEO, ADNOC Gas: I think I gave some core on the three phases from the rich gas development. Phase one, de-bottleneck. Phase two, potentially invest in more processing capacity. Phase three, invest in a fractionation train. The question is, what kind of returns do you foresee? I think I always have tried to help the market with assuring the market that we never take projects that have an unlevered return that is not in the mid-teen domain. You could distinguish, by the way, between phase one, two, and three in terms of returns. I personally think that the fractionation train will be the highest return because that train is very much used for the export. As you know, the export molecules, just the elbows even after that attracts a higher premium and is more valuable than the gas that we sell in the domestic market.

It goes then, of course, automatically with a higher return. All of these projects, as I say, unlevered to mid-teen returns. The company is also actively and has shown that to you last year that we are not afraid if projects do not make that hurdle rate to not execute, to not take decisions on. By the same token, we also have last year transferred certain infrastructure assets, whereby, and we all know that infrastructure normally does not have a mid-teen return. Instead of being an owner, we now pay for usage. That helps the overall returns in the company. It is an area of focus for us. Taking an FID decision for such huge amounts of investments is not something you do lightly. That is why we also have said the FID decisions are somewhere in the first half of 2026.

I don't think we should be overly accurate about it. It's coming. We will inform you when the moment is there.

Host/Moderator, ADNOC Gas: The next question comes from Oliver Connor at Citi. I understand that technical bids are progressing for the Shah Gas. Could you talk about the timeline and potential size of this project?

Fatema Al Nuaimi, CEO, ADNOC Gas: I wish I could. I wish I could, but I do not think I should talk on behalf of ADNOC, Upstream and their projects. I think I am going to pass that question. What we do is we benefit from the growth in feedstock that comes from ADNOC. They are, as we all know, working hard to reach a production capacity of 5 million barrels per day. That growth constitutes different developments in their portfolio. Thanks.

Host/Moderator, ADNOC Gas: The next question comes from Ahmed Kamal at Azimut. Can you elaborate more on building a first infrastructure connection to a data center? You mentioned this in the results presentation.

Fatema Al Nuaimi, CEO, ADNOC Gas: Yeah, no, thanks. I find the data centers, like anybody else, quite fascinating development for ADNOC Gas. It means that there is a new demand center on the horizon. I want to make two points, please. The first thing is that when we talk AI data centers, and yes, we're making sure that we have the infrastructure in place to get all the gas that's required as a source of energy for data centers in place. We focus often very much on the UAE.

If you look at, for example, a country like Japan, where you follow a demand outlook for gas, and you can look at Wood Mackenzie or any sources like that, you see that the demand outlook is positively impacted by more gas needed to fuel data centers. When we talk about data centers, I believe it is a huge opportunity for the company, not only in the UAE, but also we will reach it by means of our exports. The key question is, of course, is this going to move the needle in a material way? The simple answer is, I do not know. I do not know how many data centers there will be in the UAE. I do not know what the energy mix is going to be, because it is highly unlikely, in my view, that a data center, the energy only comes from gas.

This country is blessed with a lot of good opportunities to have more solar in the energy mix, and I'm sure that's going to happen. Ultimately, the energy for data centers will, in my view, not just be only gas. It will be hybrid between solar in particular and gas. Probably the same is true for other countries as well. At this moment in time, I can only see that it is a great growth area. It's a new demand center. At the same time, it's also too early to really quantify it. We are overly optimistic how much impact that would have in a given year. Let's be realistic about it and keep a balanced approach.

Host/Moderator, ADNOC Gas: Thank you. We've just had a question come through. Sorry. It's from Jean-Pierre Mogan at Kepler Cheuvreux. You highlighted additional gas sales for electricity generation in the GCC that boosted margins further in domestic gas. Can you clarify whether this pertains to gas sales to Oman and if it's connected to imports/exports through Dolphin or to gas produced in the UAE?

Fatema Al Nuaimi, CEO, ADNOC Gas: Okay, Jean-Pierre, thank you for the question. We in the UAE have access to gas from ADNOC Gas. The volume of processed gas that comes from Qatar and that reaches the UAE is 1.8 bcf. The balance, 0.2 bcf, is going to Oman. The contract with Qatar is a government-to-government contract, and that will terminate, as most of you know, in 2032. The sale of gas to electrons is an output, and it is, I believe, a great commercial initiative whereby ADNOC Gas participates.

We team up with the power sector, and the volumes are used to generate electricity that is then sold in an auction. In the GCC, there are auctions for electricity. The grid is connected. What we have done is participated together with the power sector in these auctions. It is a win-win. ADNOC Gas monetizes gas that is not committed long-term. The power plant is better utilized, which gives better returns. We then participate in these auctions. The good news is that the auctions originally were, I think, by heart, three or four months in duration. You see now that the duration of these auctions is getting longer. I do not think we are there and we can claim this as a structural source of revenue.

Seeing the duration of the tender increasing from three months to a year is definitely helpful for the performance of the domestic gas market of ADNOC Gas.

Host/Moderator, ADNOC Gas: Our next question is an audio question. Caller, please go ahead when you hear the beep.

Fatema Al Nuaimi, CEO, ADNOC Gas: Hello, can you hear me?

Host/Moderator, ADNOC Gas: Yeah.

Fatema Al Nuaimi, CEO, ADNOC Gas: Hello, can you hear me?

Host/Moderator, ADNOC Gas: Yes, we can hear you. Please go ahead.

Fatema Al Nuaimi, CEO, ADNOC Gas: So it didn't beep. Yeah, it's Alex from JP Morgan here. Just when we look at the pricing increases that you're getting in domestic business on supplying volumes over and above the contract level, can you give us some indication of what that is sort of priced at? I'm assuming the main competition for you guys is Dolphin, and I've seen numbers quoted around about $6 to $7 per BTU for interrupted gas prices. Is that the kind of dynamic that you're getting? Are you getting that level of jump-up in pricing when your volumes are delivered above the contract level? Just to confirm that. I wish I could give you an answer that would make my life a lot easier, but I can't. For commercial reasons, we do not disclose the pricing to our customers.

I think there's one exception to that because one of our key customers, Borouge, has disclosed the price of ethane that we provide to them starting the year 2027. If you look at the overall pricing environment for the domestic market, which is not linked to Brent, I think it ranges, of course, between our contracts that are in place, and some of them date back quite long in time. The third pricing component is potentially Dolphin, but do not forget that Dolphin is committed. The real ceiling in pricing is the energy import parity. That is the alternative that a buyer has. That is the domain in which we can play. Also, our pricing is not necessarily always fixed. We have customers that require a lot of flexibility. For example, customers with solar in their mix, again, there are certain intraday swings.

At night, you've got gas, and during the day, you use the sun. At any moment, those intraday swings are getting bigger and bigger depending on how much solar comes into the mix. Now, that flexibility the company can provide, and then you've got the pricing structure where you basically pay for the flexibility. I hope that gives you some feel for how this works. I spoke about the electrons. That is purely market-driven. We're not the only ones who can do this. That is purely a commercial play, that means of an auction. The last thing we also do is make use of swaps within the country. If, for example, Dolphin has certain volumes available in places where we don't serve customers, we undertake swaps with them, and we serve their customers. We serve ours.

Those are all levers that we pull, which has resulted in this very strong performance in the domestic gas market. That is how we started, of course, with the increase in EBITDA of 26% compared to the first nine months of 2023. It is a huge effort, and it's a commercial effort. I said this before, I believe the company has more potential to further undertake these commercial activities.

Host/Moderator, ADNOC Gas: Thanks. Thank you. There are no further questions in the queue, so I shall hand back to Richard.

Fatema Al Nuaimi, CEO, ADNOC Gas: Thank you very much to all of you that attended and your questions.

This concludes the Q3 2025 results call for ADNOC Gas.

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