China ZhenHua Oil buys interest in onshore concession from ADNOC
Dec. 10, 2018
Abu Dhabi National Oil Co. (ADNOC) reported that a 4% stake in its onshore concession has been acquired by North Petroleum International Co. Ltd., a subsidiary of China ZhenHua Oil Co. Ltd. Previously, the stake was held by CEFC China Energy Co. Ltd.
The ownership change has been approved by Abu Dhabi’s Supreme Petroleum Council and is in line with the UAE leadership’s directives to grant access to Abu Dhabi’s oil and gas concessions to partners who offer technology, operational experience, capital, or market access.
China ZhenHua Oil is 100% indirectly owned by the Assets Supervision and Administration Commission of the State Council, a Chinese-government agency that supervises and manages more than 100 state-owned assets and enterprises in a variety of businesses including telecommunications, oil and petrochemicals, and transportation.
China ZhenHua Oil operates 11 oil and gas upstream projects in six countries, with gross production of close to 10 million tonnes/year. The company joins BP PLC 10%, Total SA 10%, China National Petroleum Corp. 8%, Inpex Corp. 5%, and GS Energy 3% as participants in the onshore concession and shareholders of ADNOC Onshore. ADNOC retains a majority 60% share in the ADNOC Onshore operated concession.