Pakistani companies invest in oil and gas for the first time in Abu Dhabi.
Abu Dhabi National Petroleum Corporation (ADNEC) on Tuesday announced the transfer of 5 exploration rights to four Pakistani companies – Pakistan Petroleum Limited (PPL) and Marie Petroleum Limited. MPCL, Oil and Gas Development Company Limited (OGDCL), and Public Holdings Limited (GHPL) – Abu Dhabi’s second competitive bidding round. The union is led by PPL.
The award marks the first time Pakistani companies have invested in oil and gas in the Abu Dhabi deal, and the first time Edeninok has partnered with Pakistani energy companies.
The agreement builds on the deep-rooted bilateral relations between the United Arab Emirates and Pakistan, and highlights Adenok’s broad approach to strategic partnerships, including access to the company’s crude oil and products.
The exploration agreement was signed by Dr. Sultan bin Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and Edino Managing Director and Chief Executive Officer of the team, and Moine Raza Khan, CEO and CEO of PPL.
Speaking at the event, Dr. Al-Jaber said: Support Pakistan’s energy security and further strengthen the strategic and economic ties between our two countries. We are pleased to be partnering with Pakistan Petroleum Limited and other Coast Block 5 members.
The union was selected as part of the Abu Dhabi blockchain bidding process, which reaffirmed our strategic partnership that contributes to market access, capital, best-in-class professionalism or advanced technology integration. We have high hopes. Ability to create significant value with all of our partners in this second round of competitive bidding by accelerating the search and development of Abu Dhabi’s untouchable resources in accordance with the wise guidelines of the leadership.
Under the terms of the agreement, the union will have a 100% stake in the exploration phase, up to $ 304.7 million (Dh1.12 billion) for exploration and evaluation, including participation fees, and 6,223 square kilometers of oil exploration and exploration off the coast northeast of Abu Dhabi. Gas opportunities in the 100 km block.
“The PPL-led coalition is delighted to have been selected for the Abu Dhabi Beach Block-5 discount,” Khan said. The award is not limited to bilateral energy and economic ties to Pakistan and the Emirate of Abu Dhabi. It also provides an opportunity to strengthen strategic partnerships with ADNOC to share technical knowledge and experience.
“We are delighted that this alliance has included the ‘Big Four’ national exploration and production companies, which are fully committed to supporting Edinock and the Emirate of Abu Dhabi in strengthening their position in the global energy sector.
Following successful business acquisition during the exploration phase, the association will be entitled to a product discount for the development and production of such business discoveries. It has the option of acquiring a 60 per cent stake in the production level of Adnok Concentration. The production level is 35 years from the start of the search term and the ban provides the potential for high domestic value at the United Nations’ Reduced Age.
In addition to excavations and assessment wells, the survey will provide financial and technical support for the Edinok Mega Earthquake Concert, which will provide 3D earthquake information in the Block area. Earlier reports from several blockchains, coupled with its proximity to existing oil and gas fields, suggest that the discount is promising.
On behalf of the Abu Dhabi government, Edinock launched the second round of the bidding process in 2019. The Block 5 Award for the Union of Pakistani Blockers concludes this second round of bidding, which presents the most competitive proposals for the proposed geographical areas.
Following the recent acquisition of 22 billion barrels of unbridled oil resources (STB) and 160 trillion cubic feet (SCF) of non-renewable natural gas resources, Edinock decided not to issue a search license. Participate with partners with unusual resource licensing opportunities around this geographical area. Alongside some of North America’s most popular shale oil productions, this area contains some of the most unusual natural resources.
As part of the second round of bidding in Abu Dhabi, Adenok Beach Block 4 has been awarded in full by Cosmo Energy Holdings Co., Ltd. Coastal Block 3 is owned by Eni and PTT Exploration and Production Public Company Limited (PTTEP). And Beach Block 5 to Occidental. Based on existing data from detailed petroleum system surveys, seismic surveys, exploration and assessment wells, the blocks in this estimate will contain billions of barrels of oil and several trillion cubic feet of natural gas.
PPL operates 15 production fields across Pakistan and contributes more than 20 percent of the country’s natural gas supply.