Dubai — State-run Abu Dhabi National Oil Co. have signed an agreement with Indonesia's PT Pertamina to look into possible collaboration in the oil and gas industry, both locally and globally.
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The comprehensive strategic framework agreement includes upstream, midstream and downstream sectors, ADNOC said Wednesday in an emailed statement.
Projects may include participation in the UAE's upstream oil and natural gas sector, as well as refining and petrochemicals, LNG, LPG, aviation fuel and fuel retail opportunities in Indonesia, it said.
In addition, the two partners will explore working together in transportation, trading and storage in the UAE, Indonesia and globally.
"This collaboration with Pertamina further demonstrates ADNOC's drive to unlock value from across our entire portfolio and our ambition to expand our international investments to become a truly global energy company," said ADNOC group CEO Sultan al-Jaber.
The two countries will form working groups over the coming months to shortlist key projects, and possible agreements by the end of this year, ADNOC said.
ADNOC, which pumps most of the UAE's 3 million b/d, is expanding its reach globally and locally with international partners as it seeks to boost its oil output capacity to 4 million b/d by 2020 and 5 million b/d by 2030. It also plans to spend $45 billion with partners to develop its downstream industry in the industrial hub of Ruwais, which includes
tripling petrochemical production to 14.4 million mt/year.
"Pertamina plans to develop an additional 1 million b/d of refining capacity," Petramina CEO Nicke Widyawati said. "Therefore, partnership with ADNOC will be an important milestone for Pertamina to secure energy supplies from overseas."
Separately, Abu Dhabi-owned Mubadala Investment Company, which manages $225 billion in assets, and Austria's OMV, in which Mubadala has a 25% stake, signed a memorandum of understanding with Indonesian petrochemical companies PT Chandra Asri Petrochemical Tbk and PT Chandra Asri Perkasa to explore collaboration in the petrochemical field in the Asian country.
The companies will set up working groups to evaluate opportunities.
ADNOC this week signed a number of agreements as Abu Dhabi Crown Prince Sheikh Mohamed bin Zayed al-Nahyan and ADNOC's Jaber toured Asia. On Tuesday, ADNOC Logistics & Services agreed with Wanhua Chemical Group to establish an LPG shipping joint venture, building on an existing 10-year LPG supply contract. The JV includes the operation of two Very Large Gas Carriers.
(Updates with Indonesia refinery, Mubadala agreement)
-- Dania Saadi, dania.el.saadi@spglobal
-- Edited by Jonathan Fox, email@example.com