Qatar Petroleum Announces the Signing of a Concession Agreement with the Emirate of Abu Dhabi for the Continued Development and Operation of Al-Bunduq Offshore Oil Field
Thursday 15 March 2018
Qatar Petroleum signed a concession agreement with the Abu Dhabi Supreme Petroleum Council (on behalf of the Government of Abu Dhabi), Abu Dhabi National Oil Company (ADNOC), United Petroleum Development Co Ltd (Japan), and Bunduq Company Limited (operator) for the continued development and operation of the shared Al-Bunduq offshore oil field.
The signed agreement replaces the original concession agreement signed in March 1953 between the ruler of Abu Dhabi and D’Arcy Exploration Company Limited, which was amended several times since then. In March 1969, the State of Qatar and the Emirate of Abu Dhabi signed an agreement stipulating that the Al-Bunduq field is equally owned by both sides.
The signing of the new agreement comes as the original concession agreement expired on March 8, 2018. It will govern the continued development and operation of the shared field.
Bunduq Company Limited, which operates and manages Al-Bunduq field, was established in 1970 and is fully owned by United Petroleum Development Co Ltd, a Japanese company owned by Japanese shareholders Cosmo (45%), JX Nippon (45%) and Mitsui (10%).
Al-Bunduq offshore oil field, shared between the State of Qatar and the Emirate of Abu Dhabi, was discovered in 1965 and commenced production in 1975. The field’s crude oil production is exported to Japan and other Asian markets.