FCC

BPRL, IOCL JV secures first full production concession in Abu Dhabi

2024-09-13

Bharat PetroResources (BPRL), a wholly-owned subsidiary of Bharat Petroleum Corporation (BPCL), in collaboration with Indian Oil Corporation (IOCL), has secured a production concession through their joint venture, Urja Bharat (UBPL). This concession was granted by the Supreme Council for Financial and Economic Affairs (SCFEA) in Abu Dhabi.

The concession follows an earlier exploration and production award given to UBPL in March 2019, after which the exploration phase was successfully completed with an investment of approximately $164 million. The awarded area spans up to 6,162 square kilometres, giving UBPL exclusive 100% concession rights.

Exploration activities in Onshore Block 1, particularly in the 38 square kilometre Ruwais region, have shown promising results. This area holds undeveloped conventional oil and gas resources, and its development is expected to contribute to Abu Dhabi’s efforts to expand its hydrocarbon sector and support sustainable economic growth.

The production concession agreement also grants UBPL equity oil rights, enhancing India’s energy security efforts. This marks BPRL’s first full production concession in Abu Dhabi, aligning with its strategy to diversify its portfolio by adding production assets in key resource-rich regions.

This concession represents the first full production award to an international company as part of Abu Dhabi's exploration block bid rounds.