Two of Indian Oil companies namely, Bharat Petroleum Corporation Ltd. and Indian Oil Corporation Ltd. signed agreements for exploration rights with Adnoc, the national oil comapany of Abu Dhabi.
In the exploration phase, Adnoc will be holding 100% stake as it is investing $170 million which includes a participation fee, to appraise and explore oil and gas opportnites. During the production phase, Adnoc has 60% stake.
The agreements are for a term of 35 years, signed by Dr. Sultan Ahmad Al Jaber, Adnoc Group CEO and UAE minister of the state; Sanjiv Singh, chairman of Indian Oil Corporation and Duraiswamy Rajkumar, chairman and managing director of Bharat Petroleum Corporation.
Al Jaber has selected both the Indian oil companies after a very competitive bid round. The aim is to accelerate the development and exploration of the untapped resources in Abu Dhabi.
As per the agreement the onshore exploration given to the Indian consortium will target the oil and gas opportunities in the area, which also covers “Ruwais Diyab Unconventional Gas Concession” separately.