Shar­jah chooses ENI to drill in 3 on­shore oil, gas blocks

SNOC KEEN TO CON­DUCT LI­CENCE ROUNDS FOR AD­DI­TIONAL AR­EAS, CEO SAYS

Gulf News - - Business - Staff Re­port

Shar­jah yes­ter­day awarded three on­shore blocks to Ital­ian oil ma­jor ENI, in a cer­e­mony at­tended by His High­ness Dr Shaikh Sultan Bin Mo­ham­mad Al Qasimi, Mem­ber of the Supreme Coun­cil and Ruler of Shar­jah.

Also in at­ten­dance was ENI’s chief ex­ec­u­tive, Clau­dio Descalzi.

The pair signed an agree­ment award­ing ENI three long-term con­ces­sions to ex­plore and de­velop on­shore oil and gas­fields, in a 30-year part­ner­ship with the Shar­jah Na­tional Oil Cor­po­ra­tion (SNOC).

The 2018 Ex­plo­ration Bid Round cer­e­mony saw ENI awarded Ar­eas A, B & C on­shore Ex­plo­ration Con­ces­sion Agree­ments. “These agree­ments mark for ENI an­other ma­jor step to­wards an or­ganic growth in the UAE,” said Descalzi. “To­day’s awards are a fur­ther con­fir­ma­tion of our will­ing­ness to root our pres­ence in the Mid­dle East by cre­at­ing long-term strate­gic part­ner­ships.”

Con­ces­sion Ar­eas A and C cover 437 square kilo­me­tres and 1,184 square kilo­me­tres re­spec­tively.

ENI will act as op­er­a­tor with a 75 per cent par­tic­i­pat­ing in­ter­est, while SNOC will take a 25 per cent stake. Con­ces­sion Area B cov­ers an area of 264 square kilo­me­tres, with SNOC act­ing as op­er­a­tor and hold­ing a 50 per cent par­tic­i­pat­ing in­ter­est, while ENI will hold the other 50 per cent.

There was “con­sid­er­able in­ter­est” in the li­cens­ing round, ac­cord­ing to a state­ment from the Shar­jah Gov­ern­ment Me­dia Bureau.

These agree­ments are the re­sult of the first In­ter­na­tional Com­pet­i­tive Ex­plo­ration Li­cens­ing Round launched by the state-owned Shar­jah Na­tional Oil Cor­po­ra­tion (SNOC) in 2018 to ex­plore and de­velop hy­dro­car­bon re­sources through the es­tab­lish­ment of new part­ner­ships.

Shaikh Sultan and Descalzi also dis­cussed a num­ber of en­ergy, oil and nat­u­ral gas-re­lated is­sues, as well as fu­ture projects aimed at en­sur­ing the sus­tain­abil­ity of en­ergy.

“We are de­lighted to wel­come ENI as our part­ner in Shar­jah. ENI has an ex­cel­lent track record in both ex­plo­ration and de­vel­op­ment and brings both tech­ni­cal ex­per­tise and the abil­ity to move ahead with ac­tiv­i­ties at a fast pace,” said Hatem Al Mousa, CEO of SNOC. “I would like to thank all the com­pa­nies who par­tic­i­pated in the process. SNOC plans to con­duct Li­cence Rounds for ad­di­tional ar­eas in the fu­ture,” he added.

ENI’s pres­ence in the Mid­dle East has grown sig­nif­i­cantly over the past year, with the com­pany be­gin­ning its ex­plo­ration ac­tiv­i­ties in Oman, and the sign­ing of ma­jor off­shore con­ces­sion agree­ments with Abu Dhabi Na­tional Oil Com­pany (Adnoc).

In the Mid­dle East, ENI is also present in Le­banon and Iraq.

Mid­dle East­ern en­ergy an­a­lyst Robin Mills com­mented on the an­nounce­ment in a tweet, call­ing it a “good re­sult for Shar­jah to at­tract the most suc­cess­ful re­cent IOC [in­ter­na­tional oil com­pany] ex­plorer.”

ENI has an ex­cel­lent track record in both ex­plo­ration and de­vel­op­ment and brings both tech­ni­cal ex­per­tise and the abil­ity to move ahead with ac­tiv­i­ties at a fast pace.” Hatem Al Mousa | Chief Ex­ec­u­tive of SNOC

WAM

His High­ness Dr Shaikh Sultan Bin Mo­ham­mad Al Qasimi, Mem­ber of the Supreme Coun­cil and Ruler of Shar­jah and ENI’s chief ex­ec­u­tive, Clau­dio Descalzi, sign the agree­ments yes­ter­day.

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