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ABU DHABI / WAM
Abu Dhabi National Oil Company (ADNOC) signed on Saturday an agreement with BP, awarding the British oil and gas giant a 10 percent interest in Abu Dhabi’s onshore oil concession operated by ADCO, the Abu Dhabi Company for Onshore Petroleum Operations.
As part of BP’s interest in the concession, it will become asset leader for the Bab integrated asset group within ADCO.
The agreement was signed by Dr Sultan Ahmed Al Jaber, ADNOC Group Chief Executive Officer, and member of the Supreme Petroleum Council of the Emirate of Abu Dhabi, and Bob Dudley, BP Group Chief Executive.
Dr. Al Jaber said: “BP has long been a strategic partner to Abu Dhabi and ADNOC. Alongside our other partners, BP has played an important role in the development of our oil and gas assets. This agreement marks a milestone in our efforts to forge new partnership models that bring technology, expertise and financing aimed at maximising the value of our resources and supporting the transfer of knowledge.’’
“We look forward to working with value-add partners that share a mutual interest in advancing the industry and applying innovative technology that improve operational efficiency and recovery. “Our renewed partnership with BP will support ADNOC in achieving maximum economic value and levels of recovery. This is an attractive and strategic agreement for both parties that will deliver competitive returns and long term growth opportunities,†Dr Al Jaber added.
BP has been present in Abu Dhabi since 1939. Since the 1970’s, BP held a 9.5 per cent interest in the ADCO onshore concession that expired in late 2014. A new concession was put in place in January 2015. BP joins Total
of France, Inpex Corporation of
Japan, and GS Energy of South Korea as shareholders of ADCO and the onshore concession, who each own a 10 per cent, 5 per cent and 3 per cent interest respectively. ADNOC will continues to explore opportunities with potential partners for the remaining 12 per-
cent stake of the 40 per cent earmarked for foreign partners.