Gazprom Neft and ADNOC agree on strategic cooperation
This week, Gazprom Neft and Abu Dhabi National Oil Company ADNOC signed a strategic cooperation agreement. The document was signed by Vladislav Baryshnikov, Deputy Director General for International Business Development at Gazprom Neft, and Abdul Munim Saif Al Kindy, Head of the ADNOC Exploration and Production Directorate.
The agreement creates the basis for potential cooperation between companies in the development of production analytical systems for the exploration, production, logistics, processing and export of hydrocarbons. The parties will also evaluate the potential for implementing joint projects in the field of geological exploration, development and operation of oil and gas fields, including through a concession in the emirate of Abu Dhabi. One of the possible areas of scientific and technical cooperation between partners will be the development of management systems, information technology and artificial intelligence.
“The Strategic Framework Agreement concluded between Gazprom Neft PJSC and Adnoc marks a major milestone in the developing relationship between our two companies. It creates a platform for cooperation in Research and Development as well as Upstream and Downstream sectors. I have every confidence that our expertise and resources, pooled together, will contribute to strengthening the positions of both companies in the oil and gas market. Moreover, our partnership builds capacity to deliver breakthrough solutions that can be used to achieve the goals of Gazprom Neft technology strategy and to overcome the challenges confronting the industry, " Vladislav Baryshnikov said.
This comprehensive framework agreement with Gazprom Neft is a natural evolution of the close and deep bilateral relations between the UAE and Russia. It also further demonstrates how Adnoc is leveraging world-class partnerships to create, unlock, and maximize value from our substantial assets and resources for the benefit of the UAE and our partners. The strategic agreement offers the potential for exciting new opportunities for both companies in sour gas exploration where Adnoc has vast untapped reserves.”, Abdul Munim Saif Al Kindy said.
ADNOC is one of the world's leading diversified companies in the energy and petrochemical industries, producing approximately 3 mln barrels of oil and 10.5 billion cubic feet of natural gas per day. ADNOC has 14 specialized subsidiaries and joint ventures, the company is a catalyst for growth and diversification in the UAE.
Trade Arabia in the article ADNOC, Gazprom Neft sign strategic framework agreement writes that agreement celebrating the friendly ties between both countries was signed during Vladimir Putin's state visit to UAE. It also underscores Adnoc’s drive to leverage value-add partnerships to unlock and maximise value across its full value chain as it accelerates delivery of its 2030 smart growth strategy. ADNOC is a leader in sour gas field development and production with extensive experience gained from its Shah sour gas field in the Emirate of Abu Dhabi, where it plans to increase production from about 1.3 to 1.5 billion standard cu ft per day (bscfd) of natural gas. Also, ADNOC is developing the Ghasha ultra-sour gas concession, which is expected to produce more than 1.5 bscfd of natural gas by around 2025.
Both companies will also explore potential opportunities for collaboration in enhanced oil recovery (EOR) techniques that could unlock and maximize value from maturing reservoirs. Collaboration on the various EOR applications will support ADNOC’s production growth plans and enhance hydrocarbon recovery rate towards its 70 percent aspiration, where commercially viable. ADNOC is improving the conventional efficiencies in hydrocarbon production by injecting carbon dioxide,CO2, captured at its Al Reyadah facility into some of Abu Dhabi’s oil fields to boost oil production in EOR. Gazprom Neft has a successful track record of utilizing cutting-edge EOR techniques, including polymer and surfactant flooding.