(MENAFN) French company Total said that it has signed a deal with the Abu Dhabi National Oil Company (Adnoc) for a 10 cent stake in developing oilfields in Abu Dhabi as part of oil concessions for a period of 40 years starting from January 1 this year, Gulf News reported.
The company said that the concession covers the fifteen principal onshore oilfields of Abu Dhabi and represents more than half of the Emirate's production.
"Total's entry into the new Adco concession is a major milestone in the history of the Group's 75-year partnership with the Emirate of Abu Dhabi. We are committed to bringing our most advanced technological expertise to unlock the full production potential of Abu Dhabi's onshore fields and therefore contribute to the development of additional reserves over the next 40 years," Chief Executive Officer of Total said..
Total is the first International Oil Company to be chosen by the government of Abu Dhabi and Adnoc to participate in the new onshore concession, with the company assigned with being responsible of the technical issues on two major groups of fields.
Total said that it will be a 10 percent shareholder in the new concession, which will be operated by the Abu Dhabi Company for Onshore Petroleum Operations Limited (Adco), as well as being appointed Asset Leader for the Bu Hasa and Southeast fields, which represent about two-thirds of Adco's production.
Meanwhile, Adco said that it expects that the production in 2015 will be around 1.6 million barrels of oil per day (bpd), with an objective to increase output to 1.8 million bpd from 2017, which is part of a plan by the UAE, which holds about 6 percent of global oil reserves, to increase its production capacity to 3.5 million barrels of oil per day by 2017 from the present capacity of around 2.8 million barrels of oil per day.
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