ADNOC and CNOOC signed an agreement to collaborate in the upstream and downstream oil and gas sector, according to state news agency WAM, as well as LNG sales.
"This far-reaching framework agreement underpins the close economic ties between the UAE and China, and offers exciting new growth opportunities as well as mutually beneficial investment initiatives between ADNOC and CNOOC, while enabling the wider potential for strategic collaboration in both the upstream and downstream," said ADNOC Group CEO Sultan Al Jaber.
The two companies also agreed to share knowledge, best practices and technologies for ultra-sour gas development, ultimately aiming to improve operational efficiency in sour gas processing and treatment, improve sour gas drilling as well as field and reservoir development plans.
This partnership will also see Offshore Oil Engineering Company (COOEC) qualified as a contractor for engineering, procurement and construction opportunities, and China Oilfield Services a qualified supplier of oilfield services.
On the downstream side, the pair will collaborate on new integrated refining and petrochemical assets in China, as well as CNOOC's existing refining assets.
"The agreement will further deepen China’s energy cooperation with countries along the Belt and Road route, building a closer community of shared future in the energy sector," said CNOOC Chairman Yang Hua. "Both CNOOC and ADNOC will embrace broadened opportunities for future cooperation and enjoy the fruit of this mutually-beneficial partnership."
This fits into ADNOC's wider strategy to develop international partnership and encourage foreign investments, as well as its plan to boost its downstream portfolio.