• 4 minutes Projection Of Experts: Oil Prices Expected To Stay Anchored Around $65-70 Through 2023
  • 7 minutes Oil prices forecast
  • 11 minutes Algorithms Taking Over Oil Fields
  • 14 mintues NIGERIAN CRUDE OIL
  • 1 hour How Is Greenland Dealing With Climate Change?
  • 3 hours China Car Sales Plummet: Can Musk Unshovel His Groundbreaking?
  • 14 hours "Peace Agreement" Russia vs Japan: Control Over Islands Not Up For Discussion
  • 7 hours How Much Oil Does Aramco Have?
  • 2 hours Socialists want to exorcise the O&G demon by 2030
  • 2 hours BofA Sees Oil at $35-70
  • 5 hours Venezuela continues to sink in misery
  • 1 day Solid-State Batteries
  • 12 hours Spy&State: Huawei Founder Says Firm Does Not Spy For China
  • 13 hours Oil Slide Worries Traders. *relax* This Should Get Sorted by Year End.
  • 1 day protests in Canada over pipeline
  • 18 hours China's Exports Shrink Most In Two Years, Raising Risks To Global Economy
  • 1 day WSJ: Gun Ownership on Rise in Europe After Terror Attacks, Sexual Assaults
  • 20 hours Bolsonaro Wins in Brazil
Erwin Cifuentes

Erwin Cifuentes

Erwin Cifuentes is a Contributing Editor for Southern Pulse Info where he focuses on politics, economics and security issues in Latin America and the Caribbean.…

More Info

Abu Dhabi To Merge Mubadala And ICPC Sovereign Wealth Funds

Abu Dhabi

Mohammed bin Zayed al-Nahyan, the crown prince of Abu Dhabi, ordered the merger of state-owned investment firms Mubadala Development Company PJSC and International Petroleum Investment Co. (IPIC).

As reported on 29 June 2016, the merger would be overseen by a joint committee led by deputy prime minister Sheikh Mansour bin Zayed, and will include energy minister Suhail Mohamed Faraj al-Mazrouei.

"The merger of the two companies augments the investment advantages and economic revenue for Abu Dhabi, and creates a body capable of achieving the highest level of integration and growth in multiple sectors, including energy, technology and space industry," according to the state news agency.

Reuters believes the new entity would control an estimated US$135 billion in assets. The news agency mentioned that a “source close to the discussions” expects the merger to be completed by late 2017.

Both Mubadala and IPIC have significant and diversified foreign investments. Mubadala functions in a variety of industries including healthcare, technology, utilities, and aerospace. Mubadala Petroleum, meanwhile, has operations in the Mideast Gulf region, southeastern Asia, Kazakhstan, Tanzania and Libya, and is the largest foreign United Arab Emirates oil producer with 400,000 barrels per day.

Related: The One Chart That Shows Why Oil Prices Have To Keep Rising

IPIC is more concentrated in the energy sector and has several shares in upstream, midstream and downstream companies including Austria's OMV, Cepsa of Spain, the Sumed pipeline company in Egypt, and Canada's Nova Chemicals.

Argus Media detailed that Abu Dhabi's energy sector is in the middle of a major transformation, as the country's leadership works to streamline its diverse group of companies. State-owned oil company Adnoc recently overhauled its management, selecting Sultan al-Jaber as the new chief executive in February, and making appointments to several other executive posts throughout its subsidiary and operating companies in recent months.

The merger between Mubadala and IPIC could be the precursor to another consolidation involving a state-owned energy firm with foreign operations: Taqa. Abu Dhabi last October established a new international investment arm, Adnoc International, which could become the preferred entity for its overseas ambitions.

By Erwin Cifuentes 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