Aug. 23. 2005
Marubeni Corporation reached an agreement with Austria’s OMV Aktiengesellschaft, the largest oil group in Central Europe, concerning the acquisition of OMV concessions of 7.5% in each of the Block 12 (Al Rayyan Field) and Block 13 offshore Qatar, and a concession sales agreement was signed between Marubeni’s wholly-owned subsidiary Marubeni Oil & Gas (Qatar) Ltd. and OMV’s wholly-owned subsidiary Preussag Energie International GmbH on August 22. Completion of the procedures for the concession acquisition is subject to such conditions as approval from the Government of Qatar (the deal will be effective from January 1, 2005).
The Block 12 that began production in 1996 and currently produces 15,000 barrels a day. Excavation work on additional production wells has been continued in pursuit of maintaining and increasing production volume. Daily production volume at the end of 2006 is expected to increase to about 25,000 barrels.
The Block 13 has an area of 686km2 (about the same as the 23 Tokyo wards) and is on the territorial limits between Qatar and Bahrain. Exploration work on this block was prohibited in the long period leading up to the 2001 resolution of the issue over the territorial limits between Qatar and Bahrain and thus is a block that has been untouched, which is rare in the central region of the Middle East where nearby are the world’s largest gas field, North Field and oil field, Ghawar Oil Field.
Anadarko, the operator of the two blocks and owner of the remaining 92.5% of concessions, is an independent oil company ranked fifth in the U.S. with an extensive track record as operator and has a reputation for its experience as well as technical and financial capabilities. In this project, Marubeni will reinforce the relationship of trust and collaboration with Anadarko and dedicate efforts to expanding the profitability of this project.
Marubeni has positioned oil and gas upstream as an important business and has committed itself to further capture prime assets. The Block 12 and Block 13 are located in Qatar, the country which Marubeni has proactively been investing from before with involvement in the Qatar LNG Project among other projects. Based on these favorable terms between the two nations, Marubeni intends to continue searching for greater investment opportunities. In addition, with this project as a steppingstone, Marubeni will proactively tap new investment opportunities for oil and gas assets in surrounding Middle Eastern nations as well.