Cepsa and Cosmo Oil, one of the main refining and marketing companies in Japan, have signed an agreement for the creation of the company Cosmo Abu Dhabi Energy Exploration & Production Co. Ltd. Cepsa has a 20% stake in the new firm, with Cosmo Oil holding the remaining 80%. This partnership marks CEPSA's entry into the area of exploration and production of hydrocarbons in Abu Dhabi.
The aim of the new company is to operate four offshore crude oil production fields (Mubarraz, Umm Al Anbar, Newwat Al Ghalan and Hail), which are located in shallow waters to the west of Abu Dhabi. The agreement also includes the search for new opportunities in the United Arab Emirates.
The agreement was signed today in Tokyo by the Operations Director of Cepsa, Juan Vera, and by the President of Cosmo Oil E&P, Isao Kusakabe. The deal, which is still pending approval by the Emirati authorities, is worth approximately 200 million dollars.
In the words of Juan Vera, “For Cepsa, this is a milestone because it fulfils our objective of paving the way towards entering an area with high potential such as Abu Dhabi, with quality assets in production. In fact, the United Arab Emirates, which has a low risk of exposure, is among the top ten countries in the world with the most reserves and production. This partnership, which involves significant synergies between the two companies, also reflects the firm commitment by IPIC to its assets and is a great opportunity because of Cosmo’s extensive experience as an operator in Abu Dhabi”.
Cepsa and Cosmo are complementary businesses. They both belong to the IPIC portfolio (Cepsa is 100% owned by IPIC and Cosmo 20.8%), having a lengthy history in the oil industry and being present throughout the entire petroleum value chain.
Cepsa has had a branch in Abu Dhabi since 2013.
CEPSA is an energy group fully owned by the International Petroleum Investment Company (IPIC). It employs more than 11,000 people and operates at every stage of the hydrocarbon value chain. It is engaged in petroleum and natural gas prospecting and production activities, refining, transport and sale of crude oil and natural gas derivatives, biofuels, co-generation and electricity sales. CEPSA has developed a world-class chemicals division that is tightly integrated with its oil refining segment, where feedstock is manufactured and sold for the production of components with high value-added, chiefly used in making new-generation plastics and biodegradable detergents. It has a prominent position in Spain and, through the continuing international expansion of its business, it also operates in 15 countries, marketing its products all over the world.
Cosmo Oil, founded on 1 April 1986, is one of the largest companies in petroleum refining and marketing in Japan, with the goal of becoming a “vertically integrated global energy company” in which a 20.8% stake is owned by IPIC. Cosmo operates three refineries with a total capacity of 452,000 barrels per day in Japan and markets its products nationwide through a network of 3,195 service stations as well as abroad. Cosmo is also engaged in the exploration and production of oil primarily in the United Arab Emirates and Qatar, and in the businesses of petrochemicals and renewable energy.