TotalEnergies has put pen to paper on an agreement with CEPSA to acquire the latter’s upstream assets in the United Arab Emirates. The two companies did not disclose the value of the acquisition, which has an effective date of January 1, 2023.
TotalEnergies noted that the assets include a 20 percent stake in the offshore concession Satah Al Razboot (SARB), Umm Lulu, Bin Nasher and Al Bateel (SARB and Umm Lulu). It also includes an indirect 12.88 percent stake in the Mubarraz concession held by Abu Dhabi Oil Company (ADOC), through the acquisition of 20 percent of Cosmo Abu Dhabi Energy Exploration & Production Co. (CEPAD), a company that has a 64.4 percent stake in ADOC, TotalEnergies said.
The SARB and Umm Lulu concession includes two large offshore fields. ADNOC has a 60% stake in this concession, together with OMV (20%). The concession is operated by ADNOC Offshore. The Mubarraz concession consists of four offshore production fields, the statement said.
Both operations are subject to compliance with the usual suspensive conditions, including the formalization of documentation and final approvals.
“This transaction represents another important milestone in our long-standing partnership with ADNOC and will further strengthen our presence in Abu Dhabi, where we have been present since 1939,” said Patrick Pouyanné, President and CEO of TotalEnergies. “The acquisition of a 20 percent stake in the SARB and Umm Lulu concession is fully aligned with our strategy to focus on low-cost, low-emissions assets.”
In January 2022, TotalEnergies joined Masdar and Siemens Energy in an initiative to advance the development of green hydrogen and produce sustainable aviation fuel. TotalEnergies also recalled that in July 2022 it signed a strategic collaboration agreement with ADNOC that aims to jointly assess new growth opportunities through multi-energy cooperation across the entire energy value chain.
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