UAE’s ADNOC awards PetroChina stakes in two offshore concessions

In the Umm Shaif and Nasr concession, PetroChina joins France’s TOTAL and Italy’s Eni which were recently awarded a 20 percent and 10 percent stake respectively. (Courtesy ADNOC)
Updated 21 March 2018
0

UAE’s ADNOC awards PetroChina stakes in two offshore concessions

ABU DHABI: PetroChina will take 10 percent stakes in two of Abu Dhabi National Oil Company’s (ADNOC) offshore concessions under a 40-year agreement signed on Wednesday. PetroChina paid a participation fee of 2.1 billion dirhams ($575 million) for the Umm Shaif and Nasr concession and a fee of 2.2 billion dirhams for the Lower Zakum concession, ADNOC said in a statement.
In the Umm Shaif and Nasr concession, PetroChina joins France’s TOTAL and Italy’s Eni which were recently awarded a 20 percent and 10 percent stake respectively.
In the Lower Zakum concession, CNPC joins an Indian consortium led by ONGC Videsh, Japan’s INPEX, TOTAL and Eni.
ADNOC retains a 60 percent majority share in both concessions.
“These agreements strengthen our growing relationship with ADNOC, and will help to meet China’s expanding demand for energy and contribute to asset portfolio optimization and profitability enhancement of PetroChina,” Wang Yilin, who is chairman of both PetroChina and its parent China National Petroleum Corporation (CNPC), said in a statement.
The 40-year agreements, signed by ADNOC and CNPC, are backdated to March 9, 2018, ADNOC said.
In February 2017, CNPC, China’s largest oil and gas producer, was awarded an 8 percent interest in Abu Dhabi’s onshore concession, operated by ADNOC Onshore. It also has a 40 percent stake in the Al-Yasat concession with ADNOC.
“Energy cooperation is an increasingly important aspect of the UAE’s relations with China, the No. 1 oil importer globally and a major growth market for our products and petrochemicals,” ADNOC Group Chief Executive Sultan Ahmed Al-Jaber said in the statement.


Potential SABIC deal would affect Saudi Aramco IPO time frame, says CEO Nasser

Updated 20 July 2018
0

Potential SABIC deal would affect Saudi Aramco IPO time frame, says CEO Nasser

JEDDAH: A potential deal to buy a stake in petrochemical maker SABIC would affect the time frame of Saudi Aramco's initial public offering (IPO), the oil firm's president and CEO Amin H. Nasser said Friday. 

The IPO of around 5 percent of Aramco, which was initially to take place this year but is now more likely to happen later, would be the world's biggest listing, raising up to $100 billion.

Nasser said that buying a stake in a chemical company like SABIC would positively affect Aramco's revenue, Al Arabiya reported.

“We are still in the very early stages of the discussion to buy a stake in SABIC,” the Aramco CEO said.

“Aramco is ready for the initial offer and the timing remains subject to the state's decision.”

Saudi Aramco said on Thursday it is looking at the possibility of buying a stake in SABIC, a move that could boost the state oil giant’s market valuation ahead of the planned IPO.
Aramco said in a statement that it was in “very early-stage discussions” with the Kingdom’s Public Investment Fund (PIF) to acquire the stake in SABIC via a private transaction. It has no plans to acquire any publicly held shares, it said.
In a separate statement, PIF also said talks about a sale were in early stages. “There is a possibility that no agreement will be reached in relation to this potential transaction,” it said.