UAE’s ADNOC has announced a major revision to the crude pricing methodology used for its flagship crude grades, introducing a new approach that will take effect on 1st November 2026. The revised pricing framework will replace the existing ICE Futures Abu Dhabi-based pricing methodology, which has relied on the Murban futures contract priced two months before loading. In its place, the company will adopt a prompt-month system based on the Platts Dubai benchmark. The updated crude pricing methodology will apply across all four Abu Dhabi grades produced by ADNOC, including Murban, Das, Umm Lulu and Upper Zakum.
With the revised structure, official selling prices will be determined using the Platts Dubai assessment together with a company-announced differential. That differential will be disclosed during the month preceding the intended delivery month. According to ADNOC, the adjustment is intended to align crude pricing more closely with the month in which cargoes are actually loaded. This replaces the pricing structure that has been in place since the launch of the IFAD Murban contract in 2021, under which prices were established two months ahead of loading.
Shift Marks Broader Pricing Strategy Change
The launch of the IFAD Murban contract in 2021 established Murban as the first Middle East crude grade supported by its own tradeable futures contract. ADNOC invested several years in developing the contract as a regional alternative to Brent and WTI. Although trading in the Murban futures contract will continue, the company has now decided to discontinue its use for setting official selling prices under the new crude pricing methodology.
The announcement expands on a proposal earlier this month. That earlier proposal suggested ADNOC’s offshore crude grades would transition to Dubai-linked pricing while Murban would continue to use the futures-based mechanism. However, the latest decision extends the Dubai-linked pricing framework to Murban as well, a grade that represents roughly two-thirds of ADNOC’s production.
The pricing revision also follows the UAE’s exit from OPEC and OPEC+, effective 1st May 2026, a move that removed production quotas for ADNOC and provided the company with greater flexibility in determining its commercial terms. Separately, Platts had already introduced changes to the way Murban contributes to the Dubai pricing basket. In January, the price agency removed the floor that linked Murban’s value to Dubai after increasing Murban supply and declining availability of medium-sour barrels elevated the grade’s role within the benchmark. ADNOC’s adoption of the revised crude pricing methodology formally reflects that development from the seller’s perspective as well.
Delivery Commitments Remain Unchanged
ADNOC stated that the pricing transition will not materially affect any of its listed instruments, including bonds issued under the ADNOC Murban GMTN and Sukuk programs. The company also confirmed that it will continue to meet all delivery obligations for both its onshore and offshore crude grades as the new pricing system comes into effect.
