ADNOC Grants SOCAR 3% Interest In Two Key UAE Concessions Offshore

Abu Dhabi National Oil Company (ADNOC) has recently announced a significant development in its international partnerships by granting a 3% participating interest in the SARB and Umm Lulu offshore concession to SOCAR, the State Oil Company of Azerbaijan Republic. This strategic agreement enhances the robust energy partnership between the United Arab Emirates and Azerbaijan, further expanding ADNOC's collaborative efforts with SOCAR across various segments of the energy sector.

The integration of advanced technologies, including digitalisation and Artificial Intelligence (AI), into the operations at the SARB and Umm Lulu concession, stands as a testament to ADNOC's commitment to enhancing production efficiency. Through the deployment of remote monitoring, smart well operations, and production management systems, the concession aims to improve production capacity while simultaneously reducing emissions and bolstering safety measures.

Abdulmunim Saif Al Kindy, ADNOC Upstream Executive Director, expressed his enthusiasm about the new partnership, stating, "We are very pleased to welcome SOCAR to the SARB and Umm Lulu concession. This award supports ADNOC's strategy to leverage strategic partnerships and advanced technologies to maximise value from Abu Dhabi's energy resources to ensure a secure, reliable, and responsible supply of energy." The collaboration not only underscores the value of strategic partnerships but also highlights ADNOC's investment in technology to optimize its resources.

Building on the existing relationship between ADNOC and SOCAR, which includes ADNOC's 30% equity stake in the Absheron gas and condensate fields in the Caspian Sea and a Strategic Collaboration Agreement focusing on the development of low-carbon energy technologies, the new agreement marks a significant step forward. Areas of potential collaboration include hydrogen and geothermal energy, reflecting a shared commitment to sustainable energy development.

SOCAR's First International Upstream Investment

Rovshan Najaf, President of SOCAR, highlighted the importance of this agreement by stating, "This is our first international upstream investment, and we are particularly delighted to make this investment in Abu Dhabi, building upon our bilateral strategic relationships. We are committed to advancing our energy partnership with ADNOC even further and will continue cooperating on many more projects of mutual interest." This venture into the Abu Dhabi concession by SOCAR underscores the Azerbaijani company's ambition to expand its footprint in the global energy market.

The use of Intelligent Well Surveillance (IWS) technology in both the SARB and Umm Lulu fields is a key feature of this partnership. IWS technology allows for optimized well operations, driving operational efficiency by ensuring that wells operate at the optimum rate. This not only enhances the productivity of the fields but also contributes to the overall goal of sustainable and efficient energy production.