ADNOC Signs Agreement Granting Total a 40% Stake in Unconventional Gas Concession

Source Press Release
Company Total 
Tags Asset Deals, Deals, Unconventional Resources, Upstream Activities
Date November 11, 2018

On behalf of the Abu Dhabi government, the Abu Dhabi National Oil Company (ADNOC) has signed an agreement with French oil and gas major Total, granting it a 40% stake in the Ruwais Diyab Unconventional Gas Concession. Under the terms of the agreement, Total will explore, appraise and develop the concession area’s unconventional gas resources.

ADNOC Group, for which the award is an important milestone to reach the target of one billion cubic feet per day (bcfd) of unconventional gas production before 2030, retains a 60% stake in the concession.

The agreement includes a six to seven-year exploration and appraisal phase which will then be followed by a 40-year production term. It was signed in ADNOC’s Thamama Subsurface Collaboration Center, by His Excellency Dr. Sultan Ahmed Al Jaber, ADNOC Group Chief Executive Officer, and Patrick Pouyanné, CEO and Chairman of Total. The historic unconventionals concession award is the first of its kind in the region.

H.E. Dr. Al Jaber said: “Total is ADNOC’s largest and one of its longest international partners, having been active in Abu Dhabi’s oil and gas sector since 1939. This concession agreement marks an important and historic milestone in the development of Abu Dhabi’s gas resources, as we deliver our strategic commitment to ensure a sustainable and economical gas supply, in line with the directives of the UAE’s leadership.

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