Updated By: LatestGKGS Desk
ONGC Attained 10% Stake in UAE’s Zakum Oil Field
ONGC 10% Stake in UAE’s Zakum Oil Field Details, Features, Benefits
An association of Indian oil companies led by state-owned Oil and Natural Gas Corporation (ONGC) has acquired 10% stake in Abu Dhabi’s offshore Lower Zakum Concession for $600 million, on 10th February 2018.
The concession, which has a term of 40 years effective March 9, was signed by ONGC chairman Shashi Shanker, Abu Dhabi National Oil Co (ADNOC) group CEO Sultan Ahmed Al Jaber and UAE officials in presence of PM Narendra Modi and Crown Prince of Abu Dhabi Sheikh Mohamed bin Zayed Al Nahyan.
The current total production of this field is centered on about 400,000 barrels of oil per day (20 million tones per annum) and Indian firms' annual share shall be of about 2 million metric tonnes.
The field output is set to achieve a raised target of 450,000 barrels oil per day by 2025.
The accession is part of an agreement, and it is the first time that Indian firms have been given a stake in Abu Dhabi's oil and gas field. It will help India meet its growing demand for energy and refined products, and will also develop opportunities for ADNOC to increase its market share in a key growth market
The Lower Zakum Oil Field is located 84 km north-west of Abu Dhabi Islands. It was discovered in 1963 and is owned and developed by Abu Dhabi National Oil Company (ADNOC).
