The Abu Dhabi National Oil Company (ADNOC) revealed, today, as part of Abu Dhabi's very first block licensing strategy and in support of the Supreme Petroleum Council (SPC), the information of the preliminary round of 6 geographical oil and gas blocks open for bidding process. This adheres to the statement last month by His Excellency Dr Sultan Ahmed Al Jaber, UAE Minister of State and ADNOC Group Chief Executive Officer that Abu Dhabi was to launch its first ever affordable expedition and production proposal round.
The licensing strategy represents for a major advance in how Abu Dhabi unlocks brand-new chances and makes best use of worth from its hydrocarbon resources. It is also consistent with ADNOC's approach to expanding its strategic collaborations across all areas of its business. The successful bidders will become part of arrangements approving expedition rights and, given specified targets are achieved in the expedition stage, be approved the possibility to develop and produce any kind of explorations with ADNOC, under terms that will be laid out in the bidding package.
H.E. Dr Al Jaber said: "The launch of these huge new licensing blocks is an important action for Abu Dhabi and ADNOC as we create and apply new strategies to recognize the full potential of our resources, take full advantage of value via affordable bidding process and speed up the expedition and advancement of new business opportunities.
" This approach is main to our expanded partnership strategy, which aims to present new possibilities as we widen and diversify our partnership base. Furthermore, as we start to broaden our downstream portfolio, the new licensing obstructs reinforce our long-term production development ambitions and improves our effective legacy as a leading upstream player. This is an uncommon and interesting opportunity, for both existing and new companions, in a secure and steady investment environment."
The UAE is the world's 7th largest oil manufacturer, with around 96% of its reserves within the emirate of Abu Dhabi. Found in one of the world's largest hydrocarbon super-basins, there remains undiscovered and untaught potential in the various piled reservoirs. Based upon existing information from detailed oil system studies, seismic surveys, log files and core examples from thousands of evaluation wells, price quotes suggest these new blocks hold numerous billion barrels of oil and several trillion cubic feet of gas. A few of the blocks already have discoveries, and within the consolidated location there are 310 targeted reservoirs from 110 prospects and leads. In addition to the nation's conventional oil and gas build-ups, some of the used blocks also consist of significant unconventional source potential.
The six blocks open for bidding, 2 of which are overseas and 4 are onshore, cover a location of in between 2,500 and 6,300 square kilometres, which, comparative, is up to 3 quarters of a UNITED KINGDOM North Sea quadrant, containing 30 blocks. In total, Abu Dhabi's 6 blocks comprise a location of nearly 30,000 km2.
ADNOC has established a committed internet site - www.adnoc.ae/Block-Bid - where the company gives information on the blocks and which has a portal where interested bidders can sign up to get involved, based on a rigorous prequalification procedure carried out by ADNOC.
The website additionally provides details of a global roadshow of technological and business information on the new blocks. After the roadshow, prospective buyers will validate their participation through an Expression of Interest and will be able to acquire a detailed data plan on the 6 blocks. The data plan will include full bidding process guidelines and regional geological info, along with well and seismic data, in both raw and translated type, on all 6 blocks.
Registration is open to business with appropriate expertise and modern technology that can add to increasing the expedition and growth of brand-new standard and unconventional hydrocarbon possibilities in Abu Dhabi.
The closing date for the receipt of quotes will certainly remain in October, after which ADNOC will evaluate the bids, making use of the standards set out in the bidding directions, and the SPC will award the effective bidders. The first proposal round is prepared in conclusion this year.