Pakistani Consortium Enters UAE Hydrocarbon Exploration Partnership

In a significant stride for Pakistan’s energy sector, a group of prominent Pakistani oil and gas exploration firms has officially partnered internationally for hydrocarbon exploration and production activities in the United Arab Emirates (UAE).

“We are delighted to announce the signing and execution of a Production Concession Agreement (PCA) for the advancement of Offshore Block 5, Abu Dhabi,” stated Mari Energies Limited (MARI) in a notification to the Pakistan Stock Exchange (PSX).

The energy company, listed on the PSX, conveyed that the PCA was formalized between the Supreme Council for Financial and Economic Affairs (SCFEA), representing the Government of the Emirate of Abu Dhabi, Abu Dhabi National Oil Company (ADNOC) P.J.S.C, and Pakistan International Oil Limited (PIOL).

PIOL is a special-purpose entity formed by a consortium that includes Pakistan Petroleum Limited, Oil and Gas Development Company Limited, Mari Energies Limited, and Government Holdings (Private) Limited, with each entity possessing a 25% stake.

“Following the PCA’s execution, the partnership will consist of ADNOC and PIOL, with PIOL retaining a 40% participating interest,” the notice elaborated.

Industry experts suggest that this agreement signifies a crucial achievement for Pakistani energy enterprises operating internationally.

Back in 2021, PIOL secured offshore Block 5 during Abu Dhabi’s second competitive exploration block bidding process.

Offshore Block 5 encompasses an area of 6,223 square kilometers and is situated 100 kilometers to the northeast of Abu Dhabi city.

At the time, the consortium emphasized that this undertaking offers an avenue to collaborate with the globally recognized Abu Dhabi National Oil Company (ADNOC) and to tap into unexplored resources within one of the world’s largest hydrocarbon super-basins through investments in a secure and reliable business environment.