Abu Dhabi acquires stake in North Sea oilfield

TAQA Bratani, the UK arm of the state-backed Abu Dhabi National
Energy Company, has reportedly bought a 50 percent stake in an oilfield
off the coast of Scotland.

The oil and gas firm’s acquisition of a stake in three licences will
give it access to the Darwin oilfield, a recent discovery located off
the north-east coast of the Shetland Islands.

“These licences are located adjacent to our core infrastructure and
represent an excellent opportunity for TAQA to expand its footprint in
the Northern North Sea,” Leo Koot, managing director of TAQA Bratani, is
quoted as saying by The Herald newspaper in Scotland.

However, a spokesperson said changes to the tax regime announced as
part of the UK’s 2012 budget will impact the potential return on the
investment.

“We feel that this decreases investor confidence… We are keen to work
with [the UK] government on creating a sustainable fiscal regime for the
industry, one that encourages further exploration and production and
ensures a long-term future for the North Sea,” the spokesperson.

The remaining 50 percent stake of the licences are held by Fairfield
Energy, which were originally acquired from BP and its partners.

In November, TAQA said third-quarter profit more than doubled as oil
and gas revenue rose. Net income advanced to AED537m ($146m), compared
with AED218m a year earlier, as oil and gas revenue rose. Revenue from
oil and gas increased 68 percent to AED2.7bn, with output rising 0.7
percent.

Founded in 2005, Taqa inherited control of several UAE power and
water plants from its majority owner Abu Dhabi Water and Electricity
Authority and expanded into oil and gas.

To read more please visit Arabian Business

Article by Links Group on Feb 15th 2012

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