Abu Dhabi National Oil Company (Adnoc) is combining its two largest offshore ventures, the Zakum Development Company (Zadco) and the Abu Dhabi Marine Operating Company (Adma-Opco) which is operated with partners including BP and ExxonMobil, in order to cope with low oil price environment, reported Times of Oman.
The total of Abu Dhabi’s offshore oil production is expected to reach 1.7mb/d in 2017. The reorganization of the two companies means they will be dissolved and their ownership combined into one “NewCo”. The current chief executive of Adma-Opco, Yasser Saeed Al Mazrouei, will head up both entities during the completion. Whilst Zadco’s chief, Saif Nasser Al Suwaidi, will retire, according to The National.
Adnoc’s CEO, Sultan Al Jaber, said the consolidation will “facilitate enhanced operational performance while providing strategic benefits for future growth and advanced technology integration. It will [also] unite our offshore experience, streamline governance and decision-making, and give management a better line of sight.”