A preliminary deal has been signed between the UAE's Mubadala Development Co, U.S. major ConocoPhillips and Kazakhstan's state energy firm to develop an offshore Kazazh oil and gas block, announced Mubadala Development Co on Sunday.
The company further said, “Conoco and Abu-Dhabi government-owned investment agency Mubadala will each hold a 24.5 percent stake in the offshore Kazakh block in the Caspian Sea.”
The majority stake would be held by Kazakh state oil and gas firm KazMunaiGas KMG.UL.
The company said, “Conoco and Mubadala have until the end of the year to finalize the terms of the contract for Kazakhstan's "N" block.”
Earlier this year, a contract with government-owned Abu Dhabi National Oil Company (ADNOC) was won by Conoco, worth $10 billion-plus project with the aim to create sour gas reserves in the emirate.
The seven member United Arab Emirates is led by Abu Dhabi and also over 90% of the UAE’s oil reserves are held by it. The world’s fifth largest oil exporter is the UAE. Already, Abu Dhabi has big plans for investment in Kazakhstan.
During the month of July, government-owned IPIC and Kazakhstan launched a $1 billion fund to invest in energy and other sectors. Moreover there are also plans to develop a $5 billion-plus petrochemical project in Kazakhstan.
