First Published: 2017-02-19

China oil giant signs $1.77 billion Abu Dhabi deal
China National Petroleum Corporation signs deal with Abu Dhabi National Oil Company for 8% stake in onshore oil concession.
Middle East Online

ABU DHABI - The China National Petroleum Corporation on Sunday secured an eight-percent share in an onshore oil concession in Abu Dhabi in a deal worth $1.77 billion, the Emirati company said.

The Chinese giant signed a deal with the Abu Dhabi National Oil Company for a stake in the Abu Dhabi Company for Onshore Petroleum Operations which operates the 40-year concession, ADNOC said in a statement.

"This will be a mutually beneficial partnership that will enable us to maintain strong production levels," ADNOC chief executive Sultan Ahmed Al Jaber said.

CNPC chairman Wang Yilin said he hoped the deal would "lead to further opportunities to participate in the UAE's energy sector".

CNPC is China's largest oil and gas producer and supplier, responsible for more than half of China's crude oil output and 71 percent of its natural gas production, the statement said.

CNPC also has oil and gas projects in 37 countries in Africa, Central Asia and Russia, the Americas, the Middle East and Asia-Pacific, it said.

The United Arab Emirates is China's second-largest trading partner in the Middle East, with commerce worth $60 billion in 2016.

British oil giant BP last year secured a 10 percent share in the same oil concession, while France's Total won a further 10 percent out of the total 40 percent earmarked for foreign companies.

Inpex Corp. of Japan secured five percent and South Korea's GS Energy three percent.

ADNOC is still looking for a partner for the remainder of the concession, the statement said.

The Emirati company produces 3.1 million barrels per day, it said.

 

Trump-Saudi ties helps pave way for new Saudi crown prince

Iraq PM says IS admitting defeat in Mosul

US increases its role in Syria's civil war

Turkish President accused of influencing courts

Red Sea coral reefs take the heat of climate change

Makeshift clinic saves lives near Syria’s Raqa

Egyptian fuel helps restart Gaza power station

Rights groups say Morocco protest leader 'severely beaten' during arrest

5 killed in Mogadishu car bomb attack

UN experts urge Egypt to halt executions after 'flawed trials'

Qatar emir congratulates newly-appointed Saudi crown prince

Kushner hails 'productive' Palestine-Israel talks

Macron says removing Assad no longer priority in Syria

Turkey sends first aid ship to isolated ally Qatar

Egypt delivers fuel to ease Gaza electricity shortage

Saudi Arabia named after ruling dynasty

Turkey detains catering boss after army food poisoning

Israel says will unleash 'unimaginable power' in future Lebanon war

Brussels nail bomber identified as Moroccan

Saudi stock market bullish on new heir

Lebanon's Salame to be new UN Libya envoy

New Saudi heir is king's agent of change

Mohammed bin Salman named Saudi crown prince

Algeria leader drops Panama Papers libel suit vs Le Monde

Morocco detains three as Rif protests continue

Israel starts work on new settlements amid Trump 'peace' push

At least 10 dead in Mogadishu suicide attack

Iraq forces advance in Mosul Old City

Yemen cholera death toll passes 1,100

Iran-made drone shot down by US plane in Syria

Raqa’s own battle to liberate hometown from IS rule

Saudi, Iraq hail 'qualitative leap' in relations

French journalist killed in Mosul

Iran protests against Tillerson 'transition' comments

Saudi foils ‘terrorist act’ in territorial waters

Ex-Barclays CEO charged with fraud over Qatar funding

London mosque terror attack suspect named in media

Iran avenges Tehran attack by targeting jihadists in Syria

Israel begins reducing power supplies to Gaza

Emirati minister warns Qatar isolation could ‘last years’

Russia freezes US military hotline after downing of Syrian plane

Turkish troops arrive in Qatar for joint training

Saudi seizes weapons from captured boat in oil field

Iraq authorities tell IS to 'surrender or die' in Mosul

UN says record 65.6 million people displaced worldwide