ADNOC signs refining and trading partnership agreements with Eni and OMV
Published by Alex Hithersay,
Editorial Assistant
Hydrocarbon Engineering,
The Abu Dhabi National Oil Co. (ADNOC) has signed two new strategic equity partnerships with Eni and OMV, covering both ADNOC Refining and a new trading joint venture (JV), which will be jointly established by the three partners.
In one of the largest ever refinery transactions, Eni and OMV will acquire 20% and 15% shares in ADNOC Refining respectively, with ADNOC owning the remaining 65%. The agreement values ADNOC Refining, which has a total refining capacity of 922 000 bpd, and which operates the fourth largest single site refinery in the world, at an enterprise value of US$19.3 billion.
As a further part and condition of this agreement, the partners will also establish a trading JV, in which Eni and OMV will own 20% and 15% of the shares respectively. Proceeds to ADNOC from the sale are estimated to be US$5.8 billion, subject to completion adjustments.
The new global trading JV, once established, will be an international exporter of ADNOC Refining's products, with export volumes equivalent to approximately 70% of throughput. Domestic supply within the UAE will continue to be managed by ADNOC.
Read the article online at: https://www.hydrocarbonengineering.com/refining/28012019/adnoc-signs-refining-and-trading-partnership-agreements-with-eni-and-omv/
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