Abu Dhabi National Oil Company (ADNOC) has granted French energy giant Total concessions to explore two oil fields in the Persian Gulf, UAE state news agency WAM reported on Sunday.
Total paid 5.3 billion dirhams (1.44 billion U.S. dollars) for a 5-percent stake in the Umm Shaif oil field and a 20-percent stake in the Lower Zakum oil field, state-owned ADNOC said.
The 40-year concession, which already came into effect on March 9, were signed by Sultan bin Ahmad Sultan Al Jaber, minister of State and the chief executive officer of ADNOC, and Patrick Pouyanne, chairman of Total.
"Today's announcement marks an important step to further strengthen our value-added partnership with one of the world's largest integrated upstream and downstream companies," Al Jaber said.
For his part, Pouyanne called the announcement a "new chapter," as it ensures Total's "long-term access to significant and competitive hydrocarbon resources that we already know very well."
As ADNOC's largest and one of its longest international partners, Total, which has been active in the oil and gas sector since 1939, collaborates with ADNOC across the value chain, from offshore and onshore exploration, development and production, to processing, products and shipping.
Abu Dhabi, the capital of the United Arab Emirates (UAE), harbors approximately seven percent of the world's known oil reserves.
Editor:Amber
