• 2 minutes Oil prices going down
  • 11 minutes China & India in talks to form anti-OPEC
  • 16 minutes When will oil demand start declining due to EVs?
  • 1 hour Oil prices going down
  • 4 hours We Need A Lasting Solution To The Lies Told By Big Oil and API
  • 1 day Trump Hits China With Tariffs On $50 Billion Of Goods
  • 4 hours Another WTH? Example of Cheap Renewables
  • 2 days Bullish and bearish outlook for oil
  • 2 days Rolls Royce shedding 4,600 jobs
  • 3 days After Trump-KJU, Trump-Putin Summit
  • 1 hour What If Canada Had Wind and Not Oilsands?
  • 1 day When will oil demand start declining due to EVs?
  • 1 day Russia's Rosneft 'Comfortable' With $70-$80 Oil Ahead of OPEC Talks
  • 4 hours The Wonderful U.S. Oil Trade Deficit with Canada
  • 2 days U.S. Cars Will No Longer Need 55mpg Fuel Efficiency By 2025.
  • 3 hours The Permian Mystery
  • 8 hours China & India in talks to form anti-OPEC
  • 22 hours Gazprom Exports to EU Hit Record
  • 2 days Epic Fail as Solar Crashes and Wind Refuses to Blow
Why There Won’t Be An OPEC For Battery Metals

Why There Won’t Be An OPEC For Battery Metals

A very dynamic market, quickly…

Tesla’s Newest Car Will Have Rocket Thrusters

Tesla’s Newest Car Will Have Rocket Thrusters

Tesla CEO Elon Musk tweeted…

Total Inks Two 40-Year Oil Concessions In UAE

Total

French Total has signed two 40-year concessions worth a combined US$1.45-billion with the Abu Dhabi National Oil Company, or Adnoc. The concessions are for 20 percent in the Umm Shaif and Nasr concession and for 5 percent in the Lower Zakum concession—both offshore.

The concessions will add 80,000 barrels daily to Total’s overall production.

Total also extended its concession of the Abu Al Bu Koosh field by three years. The French company has a 100-percent stake in the field.

Umm Shaif and Nasser, and Lower Zakum were part of a larger concession dubbed ADMA-OPCO. Adnoc decided to break this concession into three smaller ones, including Lower Zakum, Umm Shaif and Nasr, and Umm Lulu and Al Razboot. The company put them up for grabs as the current concessions had either already expired in February or were due to expire this month.

Before Total, an Indian consortium including the state giant ONGC snapped up 10 percent in Lower Zakum worth US$600 million. The acquisition was notable in that it was the first foreign oil concession purchase by Indian companies in the UAE.

The fields making up the ADMA-OPCO concession produce around 700,000 bpd, but their capacity is on track to be expanded to 1 million bpd over the next three years. Adnoc is now looking to award another 10 percent in Lower Zakum, retaining 60 percent in the concession. More bidders are also sought for the other two new concessions after the split of ADMA-OPCO.

Related: The Truth About Aramco’s $2 Trillion Valuation

The UAE has proven oil reserves of 97.8 billion barrels and is tasked with producing no more than 2.87 million bpd under the OPEC+ oil production cut agreement. Despite this quota, Adnoc has plans to boost its production capacity from the current 3.2 million bpd to 3.5 million bpd by the end of the year.

Besides Total and the ONGC-led consortium, the company has granted concessions to Exxon, BP, Shell, Inpex, CNPC, and Spanish Cepsa.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


x

Join the discussion | Back to homepage

Leave a comment

Leave a comment

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