UAE’s global sovereign investor ADQ and Orion Resource Partners have agreed to establish a $1.2bn joint venture (JV) to invest in and secure the supply of strategic metals and critical minerals.
The Abu Dhabi-based 50-50 partnership will deploy the capital over four years, focusing on strategic investments in critical minerals to boost supply chain security both globally and locally.
The JV, dubbed OMF (ME) JV, will be headquartered at the Abu Dhabi Global Market (ADGM).
It will invest in mining companies through multiple asset classes, including equity, senior debt, and production-linked instruments such as royalties, streams, and offtakes.
Initial investments will be directed towards emerging markets in Africa, Asia, and Latin America, targeting a diverse range of metals and minerals.
ADQ deputy group CEO Hamad Al Hammadi said: “As a long-term investor, we are committed to ensuring that our portfolio companies are set up for success in an ever-changing operating environment.
“The establishment of Orion Abu Dhabi is a natural step for us, allowing our companies to execute their ambitious growth plans with the assurance of a resilient supply of essential resources.”
In line with its investment plans, the JV will secure long-term agreements for sourcing essential minerals, including copper, high-grade iron ore, and other key commodities crucial for global supply chain stability and the energy transition.
The partnership aligns with ADQ’s objective to develop global business platforms that drive financial returns for Abu Dhabi.
OMF (ME) JV will be integrated into ADQ’s newly established Infrastructure & Critical Minerals cluster, which also includes investments in Alpha Dhabi Construction Holding and Plenary Group.
The cluster aims to strengthen the resilience of Abu Dhabi’s economy while supporting growth in downstream sectors like manufacturing and clean energy through the strategic sourcing of raw materials.
By leveraging ADQ’s global presence and Orion Resource Partners’ sector expertise, the JV is expected to expand its investment portfolio significantly in the coming years.
Orion Resource Partners founder and group CEO Oskar Lewnowski said: “Over the past decade, Orion has partnered with leading corporations to finance and advance the sustainable production of the resources that are essential to our society.
“Through Orion Abu Dhabi, we are bringing our successful partnership model to Abu Dhabi to support the security of critical material supply chains, global decarbonisation efforts, and to contribute to long-term value for the UAE economy.”
