Abu Dhabi: For the first time, the UAE has offered Pakistani companies to take advantage of oil production, according to reports,Abu Dhabi National Oil Company, a group led by the state-owned Pakistan Petroleum Limited.
And it will invest about 30,305 million in natural gas exploration.
According to UAE sources, the UAE-based Adnoc is expanding its reach and inviting partners to work in Abu Dhabi, the largest UAE emirate.
Officials in the UAE said they wanted to increase daily production capacity from about 25 percent to 5 million barrels by 2030.
In this regard, it has also come to light that for Pakistan, the world’s fifth-most populous nation, this agreement can help to cut off the surplus supply as it increases its energy demand.
Unlike Saudi Arabia and other OPEC members, international companies are equity investors in the oil and gas sector in Abu Dhabi.
Over the past decade, the UAE has invited firms from Asia where oil demand is growing rapidly. Chinese, South Korean, and Indian companies have participated in the production and exploration blocks.
The award expands the scope of energy cooperation between the UAE and Pakistan, which imports about 1 million barrels of UAE oil a day. Abu Dhabi Sovereign Fund Exchange Company is a shareholder in a refinery in Pakistan.
In a file filed with the stock exchange in Karachi, Pakistan Petroleum said that the Pakistani consortium also includes Mari Petroleum Company, Oil and Gas Development Company, and Government Holdings Limited.
The UAE is the third-largest oil producer in the Organization of Petroleum Exporting Countries, pumping about 75 to 2.75 million barrels per day.
The country is producing below capacity after OPEC and other countries decided to limit exports to bolster markets in the wake of the coronavirus epidemic.
Pakistan was represented at the event in Abu Dhabi by Federal Minister Hamad Azhar.
MDGHPL said on the occasion that it is happy to be a part of the consortium selected for the Block 5 award, it is happy to be selected for the Block 5 consortium of Abu Dhabi.
On the occasion, Federal Minister Hamad Azhar said that the agreements would help in bridging the gap between energy demand and supply. Pakistan is dealing with the growing energy demand.
Representing Pakistan at the event, Energy Minister Hamad Azhar said that the award was a new beginning for both countries in terms of energy. Pakistan and the UAE have a long and friendly bilateral relationship.
It is also learned that the signatures of CEOs, UAE Minister of Industry, and MD Abu Dhabi National Oil Company were also received on the occasion.
After which Pakistan acquired Block OGDCL, PPL, and GHPL, it was also clarified that Pakistani companies acquired Offshore Block 5 in Abu Dhabi.
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