Adnoc signs strategic framework with Russia's Gazprom Neft
Companies will look to collaborate on exploration and production, and new technology
Abu Dhabi National Oil Company signed a comprehensive framework agreement with Russia’s Gazprom Neft to explore opportunities for partnership.
The two sides will look into exploration and production and at potential collaboration in sour gas, or gas with a large volume of sulphur. Most gas caps in Abu Dhabi are sulphurous, such as the Ghasha concession, in which Russian operator Lukoil has a 5 per cent concession.
“The strategic agreement offers the potential for exciting new opportunities for both companies, in the upstream and downstream sectors, as well as in artificial intelligence and sour gas where Adnoc has vast untapped reserves,” said Dr Sultan Al Jaber, Adnoc group chief executive and UAE Minister of State.
Enhanced oil recovery will be another area of interest. The technology is used to recover production from maturing assets by injecting carbon dioxide into the fields. Adnoc has plans to enhance its recovery rate, where commercially viable, to 70 per cent. The state oil company uses carbon captured at its Reyadah facility to enhance recovery from some of its fields.
Technology is also covered under the agreement, which includes opportunities in developing systems for integrating upstream and downstream operations using artificial intelligence.
“[The agreement] creates a platform for co-operation in research and development as well as upstream and downstream sectors,” said Vladislav Baryshnikov, Gazprom Neft’s deputy chief executive for international business development. “Our partnership builds capacity to deliver solutions that can be used to achieve the goals of Gazprom Neft technology strategy and to overcome the challenges,” he added.
Updated: October 16, 2019 08:07 AM