Abu Dhabi's ADNOC inks $500m deal to develop UAE oilfields

February, 16th 2015

State-run Abu Dhabi National Oil Company (ADNOC) has signed a technical agreement with US-based Occidental Petroleum to develop the al-Hail and Ghasha oilfields.

"Under the terms of the new agreement, ADNOC and Oxy will cooperate in carrying out a number of activities that reach up to $500 million in investment," ADNOC said in a statement.

"The agreement covers 3D seismic surveys, drilling of appraisal wells and conducting of engineering studies necessary for the fields' development."

ADNOC holds a 70 percent share in the fields development venture, while Occidental holds 30 percent, according to the statement.

Occidental also holds a 40 percent stake in Abu Dhabi's Al Hosn Gas project.

According to the plan, the necessary evaluation studies and the desired goals of the developmental project is expected to be realised by 2017.

Saoud Mubarak AlMehairbi, manager, Exploration Division at ADNOC, said: "Under this agreement Oxy will provide manpower support in form of secondees to ADNOC for short, mid and long terms to be agreed between the parties for the development of ADNOC human capabilities and will organise a number of training courses to provide human resources development opportunities to ADNOC staff focusing on selected areas such as geology and technical areas."

Source: arabianbusiness.com