United Arab Emirates: a lasting, long-standing partnership with ADNOC

Country: United Arab Emirates
Production type: Oil and gas
Concessions: ADNOC Onshore, ADNOC Offshore (Umm Shaif & Nasr and Lower Zakum), Abu Al Bukhoosh

1.3
billion barrels of oil equivalent from accessible resources and reserves
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Present in the United Arab Emirates (U.A.E.) for nearly 80 years, Total is one of the oldest partners of the Abu Dhabi National Oil Company (ADNOC). We hold a number of interests in onshore and offshore concessions thanks in particular to our recognized expertise in giant fields in the Middle East. After entering into the new ADNOC Onshore concession in 2015, we renewed our offshore partnership with ADNOC in 2018 for the next 40 years. This new agreement with ADNOC marks an important step in the consolidation of our presence in the Middle East, a growth region for the Group.

Concessions: A Renewed Partnership Thanks to Our Recognized Expertise

In the United Arab Emirates, Total’s presence is second to none in terms of the scope and diversity of its portfolio of assets and partnerships. In 2017, our production amounted to 290,000 barrels of oil equivalent per day (boe/d).

Thanks to recently renewed onshore and offshore concession agreements, we now have reliable, lasting access to quality resources that can be produced at low technical costs. This success is down to mutual trust and to our Group’s recognized expertise.
 

ADNOC Offshore: Long-Standing Expertise

For 65 years, Total held a 13.3% interest in the Abu Dhabi Marine Area (ADMA) concession. In March 2018, we signed an agreement to renew our partnership with the United Arab Emirates for 40 years in this concession, now known as ADNOC Offshore.

In a show of confidence in our expertise, Abu Dhabi’s national oil company granted us a 25% overall interest in both the offshore fields operated by ADNOC Offshore: 

  • Umm Shaif & Nasr: We now have a 20% interest, making us the leading partner in this concession. As part of the agreement, we were also given the role of asset leader to develop the significant gas resources offered by the Umm Shaif field.
  • Lower Zakum: We now have a 5% interest.

These fields, representing around 20% of the country’s production, are operated by ADNOC Offshore, which is wholly owned by ADNOC.

As well as these two fields, we operate the Abu Al Bukhoosh field with a 100% interest. This concession agreement was also renewed by ADNOC in 2018 for an additional three years, in a further demonstration of trust for Total as a long-standing partner.

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This concession confirms Total’s long-standing relationship with the United Arab Emirates and rewards the high-quality work by Total’s teams. We should all be very proud of our achievements.

Arnaud Breuillac
President, Exploration & Production, Total

Total’s offshore presence in the United Arab Emirates in a nutshell:

  • In the Umm Shaif & Nasr and Lower Zakum fields:
    • Nearly 20% of Abu Dhabi’s production.
    • Additional production of 80,000 barrels per day for Total.
    • Access to 1.3 billion barrels of oil equivalent from reserves and resources for the Total Group.
       
  • In the Abu Al Bukhoosh field:
    • Production of some 8,000 barrels per day.
       

ADNOC Onshore: Opportunities for Both Partners

290,000
barrels of oil equivalent per day produced in the United Arab Emirates in 2017

In 2015, we signed a new agreement for 40 years with ADNOC for the ADNOC Onshore concession, previously known as Onshore Petroleum Operations Limited (ADCO). This concession covers the production of 15 onshore oil fields that represent more than half of the United Arab Emirates’ output.

In addition, we have been given the role of asset leader in the Bu Hasa field and in the Southeast cluster (around two-thirds of the production of ADNOC Onshore), which includes the Asab, Sahil, Shah, Qusahwira and Mender fields.

This agreement generates opportunities for both parties, with the United Arab Emirates continuing to leverage the Group’s expertise and technical skills in areas such as geosciences, reservoir studies, field development plans and project management, and Total benefiting from ADNOC’s stable oil production at low technical costs.

By 2020, Total’s portfolio in the area should represent nearly 800,000 barrels of oil equivalent. 

In addition, Total holds a 15% interest in ADNOC Gas Processing (formerly GASCO), which produces natural gas liquids (NGLs) and condensate using associated gas from ADNOC Onshore. The Group also owns 5% of ADNOC LNG (formerly AGGAS), which uses associated gas from ADNOC Offshore to produce liquefied natural gas (LNG), NGLs and condensate.

Total Abu Dhabi Concessions Total Abu Dhabi Concessions

Total and the U.A.E.: A Strong, Long-Standing Partnership

Our operations in the Abu Al Bukhoosh field via our Total ABK affiliate make us the only international oil company to work as an operator in the United Arab Emirates, and a leading active partner in the country.
    
This solid and lasting relationship reflects the great trust the United Arab Emirates places in our teams to address major technical challenges, especially in geosciences. We have been working with ADNOC for nearly 80 years along the entire oil and gas value chain, from exploration to shipping, as demonstrated by our expertise in enhanced oil recovery (EOR).

For more than 70 years, Total has also supported the United Arab Emirates in its efforts to diversify its energy mix. This commitment is reflected in our 20% interest in Shams 1, one of the world’s biggest concentrated solar power plants, located 120 kilometers southwest of Abu Dhabi.