Media ININ Economy We Trust
Media In – Abu Dhabi January 27, 2019 WAM
HH Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, and Giuseppe Conte, Prime Minister of the Republic of Italy, and Hartwig Lüger, Minister of Finance of Austria, ADNOC, Italy’s ENI and Austrian OMV to acquire stakes in ADNOC Refining and establish a joint venture between ADNOC, ENI and OMV.
His Highness Sheikh Mohammed Bin Zayed Al Nahyan stressed that this strategic partnership contributes to establishing the UAE’s leading position as an integrated global energy hub with operations and expertise covering the phases and aspects of the oil and gas sector from extracting to advanced industries in refining, derivatives and petrochemicals. He pointed to the importance of expanding strategic partnerships and attracting foreign investments that support the country’s strategy to achieve economic diversification.
He said that the UAE has become a preferred investment destination and a destination for global strategic partners attracted by the country’s stable and secure economic environment, world-class infrastructure and investment-supporting laws and regulations.
Under the two agreements, which are one of the largest in refining, ENI gets a 20% stake and OMV holds a 15% stake in ADNOC Refining. ADNOC holds the remaining 65% stake. ADNOC has achieved revenues of AED 21.3 billion from this process.
This partnership reflects the quality, growth and expansion of ADNOC’s refining assets, benefiting from its unique geographic position and ability to meet the needs of markets around the world, particularly in Africa, Asia and Europe. ADNOC Refining’s refining capacity is 922,000 barrels per day and operates the fourth largest refinery The world’s oil in one location.
ENI and OMV have a proven track record in value enhancement and extensive experience in managing large and complex refineries. The two companies will transfer the advanced technology and skills of this new partnership as well as the operational experience in project management.
This partnership also achieves additional value through ENI and OMV collaborating with ADNOC to develop a new joint venture to trade products according to the same quotas agreed upon in their partnership with ADNOC Refining.
Upon completion, the joint venture will be the only global entity to export ADNOC refining products with an export volume equivalent to approximately 70% of total production. ADNOC will continue to manage the local supply through its marketing and trade department.
