Abu Dhabi government rejects onshore concession extension

20 May 2013

Abu Dhabi National Oil Company to make quick decision on international partners for onshore fields

Abu Dhabi’s Supreme Petroleum Council (SPC) has rejected a proposal by Abu Dhabi National Oil Company (Adnoc) to extend the emirate’s existing onshore oil concession by a year, Dow Jones reported industry officials as saying.

State-owned oil company Adnoc now has to make a decision on the joint ownership of its onshore oil fields in advance of the current concession – Abu Dhabi Company for Onshore Oil Operations (Adco) – expiring in early January 2014.

The onshore fields account for more than half of the emirate’s crude production capacity of about 2.6 million barrels a day (b/d).

It was reported in March that up to 10 prequalified international oil companies (IOCs) have been invited to bid for a stake in a new joint venture.  

Adco, a joint venture of Adnoc, the UK’s BP, the US’ ExxonMobil, the UK/Dutch Shell Group, France’s Total and Portugal’s Partex, was formed in 1978 to operate Abu Dhabi’s onshore fields under a 35-year concession.

All existing stakeholders have prequalified to bid for the new concession with the exception of Partex.

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.

Get Notifications