Showing posts with label ADNOC. Show all posts
Showing posts with label ADNOC. Show all posts

Thursday, 14 August 2025

Zhenhua Oil doubles crude offtake from UAE

According to Reuters, Zhenhua Oil of China, is set to double its oil offtake from Abu Dhabi National Oil Co to 200,000 barrels per day after taking on a new role leading development of one of the exporter's top oilfields.

In January, the smallest of China's state oil companies replaced French major TotalEnergies, following a bidding process to become asset leader for Bu Hasa, the largest onshore oilfield in the United Arab Emirates.

With that new role, in which Zhenhua is responsible for setting Bu Hasa's development plan and meeting production and cost targets, it also agreed a new annual deal to receive an additional 5 million tons, or 100,000 bpd, from ADNOC, the sources said.

The offtake deal, finalized around April, and Zhenhua's role in Bu Hasa have not been previously reported. It adds to Zhenhua's existing 100,000 bpd offtake agreement as an equity holder in ADNOC Onshore.

The total quantum of crude Zhenhua is contracted to receive from ADNOC will be ramped up to 200,000 bpd by around year-end.

In April, ADNOC set up an office in Beijing to expand investment opportunities with Chinese partners.

Established in 2003 under state defense conglomerate Norinco, Zhenhua specializes in oil and gas production outside China and has oil assets in Iraq, Pakistan and Kazakhstan.

In 2018, Zhenhua won a 4% stake in ADNOC's giant onshore concessions, securing a position alongside heavyweights including BP, TotalEnergies and CNPC.

With the increased offtake, Zhenhua is set to become a more active trader of Abu Dhabi's main Murban grade. The company, which runs trading desks in Beijing and Singapore, will place its first crude trader in Abu Dhabi this month, the sources added.

 

 

Saturday, 9 March 2024

Aramco joins Adnoc in lithium extraction

According to Reuters, Saudi Arabia and the United Arab Emirates' national oil companies plan to extract lithium from brine in their oilfields, in line with efforts to diversify their economies and profit from the shift to electric vehicles (EVs).

Other oil companies, including Exxon Mobil, opens new tab and Occidental Petroleum, opens new tab, plan to take advantage of emerging technologies to filter lithium from brine, as the world seeks to move away from fossil fuels.

Saudi Arabian economy for decades has relied on oil, is spending billions on trying to turn itself into a hub for EVs as part of Saudi Crown Prince Mohammed bin Salman's attempts to find alternative sources of wealth.

Saudi Aramco opens new tab and Abu Dhabi National Oil Company were in the very early stages of work to extract lithium, regarded as a critical mineral by many major economies because of its use in battery manufacture.

DLE technology is in its infancy and its economics are far less certain than those of oil.

Saudi Arabia and the UAE can draw on expertise in handling oil brine and wastewater at oil production sites.

An advantage of filtering the ultra-light battery metal from salt water is that it avoids the need for costly and environmentally challenging open pit mines or large evaporation ponds, as employed in the world's leading producers Australia and Chile.

China is the biggest processor and consumer of lithium, needed for electric and hybrid vehicles.

               

Saturday, 22 July 2023

India-ADNOC sign agreement for supply of LNG

ADNOC Gas (ADNOC Gas), a world-class integrated gas processing company, has signed a 14-year supply agreement with Indian Oil Corporation (IOCL) for the export of up to 1.2 million metric tons per annum (mmtpa) of liquefied natural gas (LNG) to India’s largest integrated and diversified energy company.

The agreement, valued in the range of US$7 billion to US$9 billion over its 14-year term, signifies a major step forward in the partnership between the two industry leaders.

The landmark deal marks another significant milestone for ADNOC Gas as it expands its global reach, reinforcing its position as a global LNG export partner of choice, and reaffirming IOCL as its key strategic partner in the LNG market.

Commenting on the agreement, Ahmed Alebri, Chief Executive Officer of ADNOC Gas said, “We are pleased to announce this long-term LNG sale, further strengthening the long-standing partnership with IOCL. We look forward to expanding our collaboration and take pride in the knowledge that ADNOC Gas’ LNG exports will further support the development of IOCL and contribute to India’s growth story.”

Under the terms of the agreement, ADNOC Gas will deliver up to 1.2 mmtpa of LNG to IOCL to India. The deal serves as a testament to ADNOC Gas’ ability to meet the growing global demand for LNG, a critical fuel in the energy transition.