Non-OPEC producers look to Abu Dhabi for new business

ABU DHABI / WAM

Leading companies from the largest oil producing region outside OPEC, the Commonwealth of Independent States (CIS) will be increasing their presence at this year’s Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) targeting the event as a hub for global deal-makers.
Two of Russia’s biggest oil and gas companies, Lukoil and Gazprom, have each confirmed substantial exhibition areas, with CEOs and other top-level decision makers leading their company delegations and taking part in strategic conference panels. They will be the biggest names among more than 30 Russian companies attending, many of them hosted at a Russian pavilion covering almost 600 square metres of exhibition floor space, almost six times the size of last year’s 105 square metre pavilion.
They will be joined by resource owners from other CIS members, including Kazakhstan, Uzbekistan and Azerbaijan, as well as by oilfield services companies from the region. Based in countries that were once part of the Soviet Union, they will be using ADIPEC as a gateway to international expansion.
“Russia is among the top 10 countries of the world in terms of oil reserves, and this has supported the growth of a highly sophisticated petroleum industry, from exploration and production, through to oilfield technology and services, transit, refining, distribution, and sales,” said Lukoil President, Vagit Alekperov. “Russian companies are now actively expanding their international operations, and ADIPEC offers them access to global partnerships, including for new resources, new markets, and new investment.”
Alongside the big oil and gas producers, other well-known industry names attending ADIPEC include SCADTech, Revalve, Intra, Transneft Diascan, OZNA, GazNefteMash, and PTPA. The Skolkovo innovation, science and technology cluster, based just outside Moscow, will also be an exhibitor.
Stretching from the edge of Europe into Central Asia and across Siberia into the Russian Far East, oil and gas projects in the CIS area have already attracted substantial investment from multinationals. Alongside the Western oil majors and supermajors, the region features a strong presence from other parts of Asia. Companies working in the region include Petronas from Malaysia, China National Petroleum Corporation, Korea National Oil Corporation, and ITOCHU and INPEX from Japan. As the indu-
stry moves beyond resource extraction, local NOCs and private oil companies are using their assets to move deeper into
midstream and downstream sectors, as well as expanding
beyond their borders.
Russia’s three largest operators lead this transformation. Rosneft, Lukoil and Gazprom now hold exploration, production and processing operations across the CIS and beyond, from Latin America to the North Sea, and from Africa to India and Southeast Asia.
They have made significant investments in the MENA region, including in Iraq, Egypt and Libya, and are negotia-
ting for projects in other countries. Lukoil has expressed interest in Abu Dhabi’s offshore leases when these are extended from 2018.
“ADIPEC is an essential destination for global oil and gas companies, so it makes sense that the big companies from the CIS come here,” said Ali Khalifa Al Shamsi, Al Yasat CEO and ADIPEC 2017 Chairman.