Dutch chemical producer OCI has confirmed that is “in discussions” with state-owned oil and gas giant Abu Dhabi National Oil Company (Adnoc) on possible cooperation relating to each of their Middle East and North Africa (Mena) fertiliser assets.
OCI, which is listed on Amsterdam-headquartered stock exchange Euronext, made the announcement on 14 June after Bloomberg reported that both parties were in “advanced talks to combine their Middle Eastern fertiliser businesses”.
In a statement, OCI said: “There can be no assurance that any transaction will ultimately take place.
"Additional information will be published in a timely manner if and when available.”
The news comes amid concerted efforts by Adnoc to strengthen and expand its downstream operations.
January 2019 saw it sign two equity partnerships with Italian oil and gas multinational Eni and Vienna-headquartered energy firm OMV, described by Adnoc as “one of the largest ever refinery transactions”.
Under the deal, Eni and OMV will acquire 20% and 15% shares in Adnoc Refining respectively, with Adnoc owning the remaining 65%.
In a statement at the time, Adnoc said the agreement valued Adnoc Refining – which has a total refining capacity of 922,000 barrels per day and operates the fourth largest single site refinery in the world – at an enterprise value of $19.3bn (AED70.9bn).