ADNOC Signs Energy Pacts with Two Indonesian Companies
To strengthen its grip in the global energy sector, Abu Dhabi National Oil Corporation (ADNOC) has recently signed three agreements with Indonesia’s Pertamina and Chandra Asri. ADNOC’s preliminary agreement with Pertamina aims at improving its self-sufficiency in petrochemical sector by exploring the development of crude oil in petrochemical complex at Balongan. In addition to this, it has signed an agreement with the same company under which it will supply 528000 million tons of liquified petroleum gas (LPG) by end of 2020. This agreement is expected to boost ADNOC’s free on board (FOB) and cost and freight (CFR) sales, further diversifying its logistics and trading potential. Moreover, a memorandum of understanding (MoU) has been signed between Chandra Asri and ADNOC to stimulate the potential supply of Naphtha, which is to be utilized as a feedstock for the emerging petrochemical complex of Chandra Asri. ADNOC is one of world’s largest group of oil and gas companies having seventh-largest reserves of oil in the world. These agreements showcase the success of ADNOC’s international partnership strategy which will help in expanding its reach in global hydrocarbon market.