PTTEP unit chosen to find oil in UAE
PTTEP MENA Ltd, a subsidiary of PTT Exploration and Production Plc (PTTEP), and its strategic partner Eni Abu Dhabi BV, a wholly owned subsidiary of Italy-based oil and gas company Eni, have won concessions to two exploration blocks known as Offshore 1 and Offshore 2 from the Abu Dhabi National Oil Company (ADNOC) following that country’s first-ever open block licensing round.
PTTEP’s first venture into the UAE reflects its success in capturing investment opportunities in strategic areas as planned.
“We’re excited and enthusiastic to establish our first-ever presence in the UAE by investing in Offshore 1 and Offshore 2 blocks,” said President and Chief Executive Officer Phongsthorn Thavisin. “This achievement opens windows of opportunity for us to collaborate with world-class E&P companies ADNOC and Eni and to invest in one of the world’s prolific areas of oil and gas resources.
“We believe the consortium will bring capabilities, experience and technology to develop these exploration blocks, and that the partnership will create long term values for all involved parties.”
UAE Minister of State and ADNOC Group CEO Sultan Ahmed Al Jaber said these historic agreements represent a major advancement in how Abu Dhabi and ADNOC unlock and maximise value from the country’s substantial hydrocarbon resources.
The award underline ADNOC’s 2030 smart-growth strategy and its targeted approach to engage with value-add partners who can contribute the right combination of capital, technology and capabilities to accelerate the development of Abu Dhabi’s hydrocarbon resources.
“The award builds on ADNOC and Eni’s growing partnerships on various fronts, broadens ADNOC’s strategic partnership base as the company adds, for the first time, Thailand’s PTTEP, and reinforces the confidence the international community places on the UAE’s stable, secure and investment environment,” he said.
Claudio Descalzi, Eni Chief Executive officer, said the partnership will see expertise and leading-edge technology brought to untapped additional resources in the offshore of Abu Dhabi.
Eni Abu Dhabi, the operator of the concession, will hold a 70 per cent stake and PTTEP MENA will hold 30 per cent in the blocks. The exploration activity has a maximum period of nine years, while the overall concession term is 35 years.
The UAE is the world’s seventh-largest oil producer, with about 96 per cent of its reserves within the emirate of Abu Dhabi.
Located in one of the world’s largest hydrocarbon super-basins remain undiscovered and undeveloped potential in the numerous stacked reservoirs.