ADNOC to split Adma-Opco concession

Abu Dhabi National Oil Company (ADNOC) will divide the Adma-Opco concession into two or more parts and is in advanced talks with more than a dozen potential partners, the NOC announced Monday.

ADNOC will retain a 60% stake in the new concessions, which will include a mix of the Lower Zakum, Umm Shaif, Nasr, Umm Lulu and Satah Al Razboot fields.

“We have received great interest in the concessions from both existing and potential new partners. Discussions are progressing well and companies have been drawn by our stable investment environment and ADNOC’s reliability as a partner, as well as the attractive and sustainable returns that will be generated,” Sultan Ahmed Al Jaber, UAE minister of state and the group CEO of ADNOC, said in a statement.

“As part of ADNOC’s new partnership approach, we look forward to working with partners who will bring new and innovative thinking to the table. Partners who can demonstrate tangible value-add to our operations through technology, expertise, long term capital and market access, as well as a shared commitment to drive operational performance and efficiency to deliver smart growth and strong financial returns. Our ideal partners should also be willing to invest across different parts of our value chain.”

The current concession, which dates back to 1953 and produces 700,000 bopd, is set to expire in March 2018. Its shareholders are ADNOC (60%), BP (14.67%), Total (13.33%) and Jodco (12%).

Last month, ADNOC announced it was looking to form partnerships with institutions including large trading houses, pension funds, private equity investors and infrastructure specialists as well as NOCs and IOCs. The company expects these partners to assist the company with market access, technology and knowledge transfer, and capital.