Concession extended for Al Bunduq field

March 14, 2018
The Japanese-owned operator of Al Bunduq oil field shared by quarreling Abu Dhabi and Qatar has won a new concession. In a statement, Qatar Petroleum said it signed a concession agreement with the Abu Dhabi Supreme Petroleum Council, Abu Dhabi National Oil Co., operator Bunduq Co., and United Petroleum Development Co., a Japanese consortium that owns 100% of the operator.

The Japanese-owned operator of Al Bunduq oil field shared by quarreling Abu Dhabi and Qatar has won a new concession.

In a statement, Qatar Petroleum said it signed a concession agreement with the Abu Dhabi Supreme Petroleum Council, Abu Dhabi National Oil Co., operator Bunduq Co. Ltd., and United Petroleum Development Co. Ltd., a Japanese consortium that owns 100% of the operator.

Qatar Petroleum didn’t disclose details, saying only that the agreement “will ensure the continued development and operation of the Al Bunduq oil field for many years to come.”

The field produces oil and gas from 28 wells at a complex of platforms tied to Abu Dhabi’s Das Island by a 27-km pipeline. The companies don’t report flow rates. Press reports indicate production in 2012 was 13,000 b/d.

Al Bunduq production began in 1975. The original concession expired on Mar. 8.

Partners in United Petroleum Development are Cosmo Energy Exploration & Production Ltd. and JX Nippon Oil & Gas Exploration Corp., 45% each, and Mitsui Oil Exploration Co. Ltd., 10%.

An unnamed official of Abu Dhabi’s Supreme Petroleum Council said no concession had been made to Qatar Petroleum.

The United Arab Emirates, Saudi Arabia, Bahrain, and Egypt are boycotting travel and other contact with Qatar in retaliation for what they say is the emirate’s support for Muslim extremists.

In a statement, the source said extension of the concession involved “no direct communication or engagement between the two states.”

The source said, “There is no commercial or trading relationship being established between the UAE and Qatar by the extension of this concession.”