ABU DHABI, The UAE, represented by the Abu Dhabi National Oil Company, ADNOC, has set itself as a member of a club of countries that sets the standard for crude oil production, following the announcement of the future sales price of Murban crude oil for March and April 2020, which will enable customers to plan better and reinforce the position of both the emirate and the UAE.
International categories of oil are classified according to their area of origin, with Brent coming from the North Sea and West Texas from the US, or according to their density. Each type of oil has its own standards which international sales contracts are based on.
Under this framework, Murban crude oil is the global standard that reinforces ADNOC’s soft power strategy and supports national sustainable development.
In November 2019, the Supreme Petroleum Council announced that Abu Dhabi climbed to sixth place in global oil and gas reserves. The Council meeting - chaired by His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, Deputy Supreme Commander of the UAE Armed Forces and Vice President of the Supreme Petroleum Council - noted, at the time, the increase in the country's hydrocarbon reserves of seven billion STB of oil, and 58 TSCF of conventional gas.
These results raised the UAE's ranking from seventh to sixth in both global and oil gas reserves with a total of 105 billion STB of recoverable oil and 273 trillion SCF of conventional gas. They also shed light on ADNOC's ability to invest in its energy resources via large-scale unconventional hydrocarbon resources development, setting the UAE as a long-term energy provider to the world.
The Supreme Petroleum Council also launched a pricing mechanism for the Murban crude as part of the state energy company's broader transformation strategy. At the time of the announcement - November 2019 - ADNOC’s Murban crude would be listed as a futures contract on an internationally recognised exchange.
Murban light crude production is around 1.6-1.7 million barrels per day, and is exported from Fujairah on the Gulf of Oman.
Many specialist international organisations agree that one of ADNOC’s advantages, which differentiates it from its counterparts from around the world, is its ability to help achieve the country’s development goals, establish strategic partnerships, and empower and train Emirati nationals to achieve the country’s sustainable development plans and visions.
Now with the recent announcement by the national oil company to increase supply to over four mmbpd in April 2020, ADNOC has secured its position as a global energy supplier that is committed to advancing smart growth in the energy industry.
ADNOC produces four types of crude oil from its land and sea oil fields, which are Murban, Um Lulu, Das and Upper Zakum.
Source: Emirates News Agency