Abu Dhabi National Oil Company (ADNOC) has struck equity partnerships with Italy’s Eni and Austria’s OMV covering ADNOC refining and a new trading venture to be jointly established by the three partners.
The transaction, which will bring proceeds of $5.8 billion to ADNOC, is one of the largest ever in the refinery business, and was hailed as a “one of a kind” deal by ADNOC’s Chief Executive Sultan al-Jaber.
“The whole oil and gas industry hasn’t seen a transaction of this size and sophistication,” he said.
Under the agreement, Eni and OMV will acquire a 20 percent and a 15 percent share in ADNOC Refining respectively, with ADNOC owning the remaining 65 percent.
The partners will also establish a joint trading venture in which Eni and OMV will again own 20 percent and 15 percent respectively, a statement from ADNOC on Sunday said.
The agreement gives ADNOC Refining, which has a total refining capacity of 922,000 barrels per day, an enterprise value of $19.3 billion.
OMV said separately that it would pay around $2.5 billion, while Eni said it would pay around $3.3 billion.
The new trading venture will provide expanded market access for ADNOC Refining’s products with export volumes equivalent to approximately 70 percent of throughput.
Saudi Aramco, Adnoc sign MoU to explore opportunities in gas sectorThe state energy giants of Saudi Arabia and the United Arab Emirates, Aramco and ADNOC, signed a cooperation deal on Monday aimed at bolstering gas ... Energy
UAE’s ADNOC to boost oil output capacity to 4 mln bpd by 2020State energy giant Abu Dhabi National Oil Company (ADNOC) plans to increase its oil production capacity to 4 million barrels per day by the end of ... Energy
Saudi Aramco, ADNOC sign deals to develop mega refinery in IndiaSaudi Aramco and the Abu Dhabi National Oil Company (ADNOC) announced on Tuesday that they have signed a framework agreement to jointly develop a mega ... Energy