• 4 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 7 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 11 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Wonders of Shale- Gas,bringing investments and jobs to the US
  • 19 hours IMO 2020 could create fierce competition for scarce water resources
  • 14 hours Evil Awakens: Fascist Symbols And Rhetoric On Rise In Italian EU Vote
  • 4 hours Apartheid Is Still There: Post-apartheid South Africa Is World’s Most Unequal Country
  • 1 day IMO2020 To scrub or not to scrub
  • 4 hours IRAN makes threats, rattles sabre . . . . U.S. makes threats, rattles sabre . . . . IRAQ steps up and plays the mediator. THIS ALLOWS BOTH SIDES TO "SAVE FACE". Then serious negotiations start.
  • 4 hours Total nonsense in climate debate
  • 9 hours Theresa May to Step Down
  • 19 mins Will Canada drop Liberals, vote in Conservatives?
  • 1 day Devastating Sanctions: Iran and Venezuela hurting
  • 36 mins Canada's Uncivil Oil War : 78% of Voters Cite *Energy* as the Top Issue
  • 43 mins Trump needs to educate US companies and citizens on Chinese Communist Party and People's Liberation Army. This is real ECONOMIC WARFARE. To understand Chinese warfare read General Sun Tzu's "Art of War" . . . written 500 B.C.
  • 1 day Level-Headed Analysis of the Future of U.S. Shale Oil Industry
  • 1 day Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints

Abu Dhabi Oil Company Consolidates Offshore Operations

UAE offshore

The Abu Dhabi National Oil Co said it would consolidate two of its offshore divisions in a bid to become “more agile” amid the current oil price environment. The two companies – Abu Dhabi Marine Operating Co and Zakum Development Co – produce a combined 1.2 million barrels of crude daily. After the consolidation, ADNOC plans to boost this to 1.6 million bpd, over the next two years.

The move by ADNOC is part of a larger restructuring drive in the energy industry of the UAE, as the emirates start to feel more deeply the pinch of persistently low oil prices. ADNOC, which is the country’s biggest oil company, said the point of the consolidation was to make the business “more agile, better able to respond to changing market demands, and be well positioned to take advantage of strategic opportunities for future growth.”

The restructuring of ADNOC’s offshore divisions will also involve its partners in the business, which include French Total, UK’s BP, Exxon, and Japan Oil Development Company. These companies will be part of a steering committee tasked with overseeing the process that should be completed by early 2018.

The UAE produces some 3.2 million barrels daily, but ADNOC, which is the country’s biggest oil and gas firm, said earlier this year it was planning to spend more than US$25 billion on raising this to 3.5 million bpd over the next two years.

The oil-dependent emirates are not stopping there, however. Last month, Energy Minister Suhail Al Mazroui said the government was working on plans to turn the port of Fujairah into a leading oil hub, rivaling Amsterdam and Singapore. As part of these efforts, the port started publishing weekly oil inventory data to enhance transparency.

The ambition to turn Fujairah into a global energy hub was also helped by Platts, which announced it would start publishing independent price assessments for a number of oil products sold on the Middle Eastern market on a free-on-board basis at Fujairah. The data releases started this Monday.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News