ABU DHABI // Abu Dhabi has awarded the first new oil and gas concession in about three decades to Occidental, the American oil company, to develop two small fields close to the capital.
The concessions are relatively small with a combined expected output of 20,000 barrels per day at first, illustrating a new strategy of the emirate to exploit smaller reserves in the light of growing world oil demand and prices.
Occidental said in a statement it had signed a preliminary agreement with Abu Dhabi National Oil Company (Adnoc) to appraise and develop the Jarn Yaphour and Ramhan fields, with a 100 per cent interest.
"The development of these two fields provides an exciting opportunity to create value for the people of Abu Dhabi and for our stockholders," said Ray Irani, chairman and chief executive officer of Occidental, which is based in Los Angeles.
An Adnoc spokesman was not immediately available for comment.
Abu Dhabi pumps almost three million barrels of oil a day, making the UAE the world's eighth largest producer. Most is exploited under a handful of 70-year-old concessions with foreign partners that are due to expire within the next few years.
The Jarn Yaphour and Ramhan fields used to lie within one of these concessions, but were relinquished.
Occidental said it aimed to invest $500 million (Dh1.83 billion) in the two fields over the next three or four years. It will start developing the Jarn Yaphour field immediately and expects to produce its first oil next year.
tashby@thenational.ae
Why it pays to compare
A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.
Route 1: bank transfer
The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.
Total cost: Dh567.25 - around 2.9 per cent of the total amount
Total received: €4,670.30
Route 2: online platform
The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.
Total cost: Dh74.10, around 0.4 per cent of the transaction
Total received: €4,756
The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.
ENGLAND SQUAD
Eoin Morgan (captain), Moeen Ali, Jonny Bairstow, Sam Billings, Jos Buttler, Tom Curran, Alex Hales, Liam Plunkett, Adil Rashid, Joe Root, Jason Roy, Ben Stokes, David Willey, Chris Woakes, Mark Wood
Batti Gul Meter Chalu
Producers: KRTI Productions, T-Series
Director: Sree Narayan Singh
Cast: Shahid Kapoor, Shraddha Kapoor, Divyenndu Sharma, Yami Gautam
Rating: 2/5
Terror attacks in Paris, November 13, 2015
- At 9.16pm, three suicide attackers killed one person outside the Atade de France during a foootball match between France and Germany
- At 9.25pm, three attackers opened fire on restaurants and cafes over 20 minutes, killing 39 people
- Shortly after 9.40pm, three other attackers launched a three-hour raid on the Bataclan, in which 1,500 people had gathered to watch a rock concert. In total, 90 people were killed
- Salah Abdeslam, the only survivor of the terrorists, did not directly participate in the attacks, thought to be due to a technical glitch in his suicide vest
- He fled to Belgium and was involved in attacks on Brussels in March 2016. He is serving a life sentence in France
Tonight's Chat on The National
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Intellectually curious and thought-provoking, Tonight’s Chat moves the conversation forward.
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