The Polish Oil and Gas Company (PGNiG) has won a tender to explore for, to appraise and to produce hydrocarbons in the Emirate of Ras Al Khaimah in the United Arab Emirates (UAE).
The UAE deal adds another country to the list of those where PGNiG’s knowledge and competence in upstream operations has seen it become a key market player. PGNiG has been operating in Norway for 11 years through a subsidiary company, PGNiG Upstream Norway. It holds shares in 20 exploration and production licenses on the North Sea shelf.
In addition to Norway, PGNiG have also been operating in Pakistan for over 20 years, where it has systematically increased natural gas production and strengthened its position on the local market.
“The experience PGNiG has had so far in exploring oil and gas abroad is very good and it brings significant benefits to the company. The United Arab Emirates is another country where we will develop our business. It is a very promising market,” announced Piotr Woźniak, president of the PGNiG management board, who added that: “according to OPEC statistics for the UAE, proven reserves amount to 98 billion barrels of oil and over six trillion cubic meters of natural gas.”
Initial operations will be carried out over three, two-year exploratory periods with an option of a two-year extension to the appraisal process, followed by a 30-year production period. After each of the exploration periods, PGNiG will retain the possibility of withdrawing from the UAE.