The
The consortium is led by PPL.
The award marks the first time Pakistani companies invest in and explore for oil and gas in an Abu Dhabi concession as well as the first time ADNOC partners with Pakistani energy companies.
The historic agreement builds on the deep-rooted bilateral relationship between the
The exploration concession agreement was signed by His Excellency Dr.
H.E. Dr.
'The consortium was selected as part of Abu Dhabi's block bid round where we have once again reinforced our approach to strategic partnerships that contribute the right combination of market access, capital, best-in-class expertise or advanced technology. We are very optimistic about the potential to unlock significant value with all our partners in this second competitive block bid round as we continue to accelerate the exploration and development of Abu Dhabi's untapped resources, in line with the Leadership's wise directives.'
Under the terms of the agreement, the consortium will hold a 100% stake in the exploration phase, investing up to
Khan said: 'The PPL-led consortium is delighted to be selected for the concession award of Abu Dhabi's Offshore Block-5. This award is not only a watershed moment for
'We are particularly excited that this consortium comprises the 'big four' national exploration and production companies that are fully geared to support ADNOC and the Emirate of Abu Dhabi in reinforcing its leading position in the global energy sector.'
Following a successful commercial discovery during the exploration phase, the consortium will have the right to a production concession to develop and produce such commercial discoveries. ADNOC has the option to hold a 60% stake in the production phase of the concession. The term of the production phase is 35 years from the commencement of the exploration phase and the block offers the potential to create significant in-country value for the
ADNOC launched Abu Dhabi's second competitive block bid round in 2019, offering a set of major onshore and offshore blocks, on behalf of the
Following ADNOC's recent discoveries of 22 billion stock tank barrels (STB) of recoverable unconventional oil resources and 160 trillion standard cubic feet (SCF) of recoverable unconventional gas resources, it was decided not to award an exploration license for Onshore Block 2. ADNOC intends to engage with potential partners for unconventional resource licensing opportunities around this geographical area. This area contains some of the unconventional resources discovered that have production potential ranking alongside the most prolific North American shale oil plays.
As part of Abu Dhabi's second block bid round, ADNOC awarded Offshore Block 4 to a wholly-owned subsidiary of
PPL operates 15 producing fields across
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