Abu Dhabi awards Eni, OMV key stakes in oil refiner

Abu Dhabi’s state oil firm said yesterday it had signed partnership deals worth $5.8 billion with Italian oil giant Eni and Austria’s OMV, awarding them key stakes in its refining arm. Under the agreements, Eni will own 20 per cent and OMV 15pc of the Abu Dhabi National Oil Co’s ADNOC Refining, with the state firm keeping the remaining 65pc. The firm also announced the formation of a joint venture between the three companies to sell refined oil products on international markets, ADNOC said in a statement.

The deal values ADNOC Refining, which has a capacity of 922,000 barrels per day, at $19.3 billion, it said. A signing ceremony in UAE capital Abu Dhabi was attended by Abu Dhabi’s Crown Prince Sheikh Mohammed bin Zayed, Italy’s Prime Minister Giuseppe Conte and Hartwig Loger, Austria’s finance minister. “These innovative partnerships will support our ambition of becoming an international downstream leader with the flexibility to respond quickly to shifting market needs and dynamics,” ADNOC’s CEO Sultan al-Jaber said.

The deal is expected to be finalised in the third quarter of this year after securing regulatory approvals, with implementation commencing the following year. Eni chief Claudio Descalzi said the transaction boosts the form’s global refining capacity by 35pc.