UAE's ADNOC To Split Huge Oil Concession, In Talks With Potential Partners
DUBAI, Aug 7 (Reuters) - State-owned energy giant Abu Dhabi National Oil Co (Adnoc) said on Monday that it would split its ADMA-OPCO offshore oil concession into two or more areas with new terms to unlock greater value and increase opportunities for partnerships.
Adnoc is in advanced talks with more than a dozen potential partners, the company said. The current operating licence for the concession will expire next March.
The potential partners are a mix of existing concession holders in Adnoc's offshore oilfields and new participants, Adnoc said without identifying them.
Adnoc will retain a 60 percent shareholding in the new concession areas.
Last month, Adnoc announced that it was expanding its partnership model to create new co-investment opportunities across its business.
Sultan Ahmed al-Jaber, Adnoc's group chief executive, said in Monday's statement that his company was looking for partners to provide technology, expertise, long-term capital and market access, as well as operational efficiency and a willingness to invest in different parts of Adnoc.
The existing ADMA-OPCO concession produces around 700,000 barrels per day (bpd) of oil and is projected to have a capacity of about 1.0 million bpd by 2021.
Existing shareholders in ADMA-OPCO are BP with 14.67 percent, Total with 13.33 percent and Japan Oil Development Co with 12 percent.
(Reporting by Andrew Torchia; editing by Jason Neely)
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