Khazna partners with ADIO to build data center in Abu Dhabi

By Arya M Nair, Official Reporter
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ADIO_Khazna data centers partnership

Abu Dhabi Investment Office (ADIO) has collaborated with Khazna Data Centers (Khazna) to boost Abu Dhabi’s data economy and strengthen its position as a hub for technology and innovation. 

Khazna will build an advanced data center in Mafraq, Abu Dhabi, with an initial capacity of 30MW, leveraging government-owned land as part of a Musataha agreement with ADIO.

Set to be operational by mid-2026, the cutting-edge facility will add significant data capacity and capability to Abu Dhabi’s existing data infrastructure. This will be pivotal in meeting the growing demand for data centre services in the UAE and wider region, while contributing to the growth and development of Abu Dhabi’s technology sector.

ADIO’s collaboration with Khazna falls under the Musataha program, which leverages Abu Dhabi government-owned land to fuel knowledge-based economic growth. ADIO manages and facilitates investment opportunities through Musataha agreements in collaboration with other Abu Dhabi government entities. 

With access to a long-term leasing contract, Khazna will build and operate the facility, which is expected to generate significant economic activity and high-value job opportunities once it starts operations.

Mansoor Al Bastaki, Head of Musataha at ADIO said that, “Data in the 21st century is often compared to oil in the 18th century: an immensely valuable, yet untapped resource. At ADIO, we recognize the importance of data in propelling our present and future economy, and as such we’re proud to support a project that will add further depth to Abu Dhabi’s digital infrastructure. As always, Musataha serves as a powerful tool to empower investors to move further and faster towards achieving their business goals alongside adding short-term impact and delivering long-term value for Abu Dhabi.”

Both Abu Dhabi and the UAE are increasingly prioritizing data as a critical resource to enable efficient and effective public services and to support economic growth objectives. As a result, ADIO is embracing opportunities to enhance Abu Dhabi’s infrastructure capabilities to power the growth of the digital economy.  

Khazna currently operates 12 data centers across the UAE, with a total planned capacity of 300MW as the company aims to add another 12 over the next two years. It plans to incorporate advanced technologies and sustainable practices into the design and operations of the Mafraq facility, ensuring optimal performance and environmental efficiency.

Ziad Samaha, Vice President of Business Development at Khazna, commented that, “Data centers are the backbone infrastructure of everything digital and are a vital component to an effective and forward-looking economy. We are excited to collaborate with ADIO to bring this transformative project to fruition. This initiative highlights our commitment to spearheading the digital and AI ambitions of Abu Dhabi and the UAE. By expanding our network of cutting-edge hyperscale data centers through our partnership with ADIO, we are actively shaping the UAE into a prominent digital hub attracting large hyperscale organizations, fostering innovation, and driving growth in the technology sector.”

ADIO provides local and international companies with a range of opportunities in Abu Dhabi and access to the emirate’s public landbank. Musataha agreements grant rights to develop plots of land for a defined period, allowing companies to grow in the UAE’s capital. ADIO has facilitated 132 Musataha agreements since October 2021.

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